GENERAL37594

• Permit No: C1981016
• IBM Index Class Name: General Documents
• Doc Date: 9/9/1991
• Doc Name: PURCHASE OF HAWKS NEST EAST PROPERTY VIA TAX LIEN
• From: MLRD
• To: FRANK JOHNSON STEVE RENNER
• Permit Index Doc Type: GENERAL CORRESPONDENCE
• Media Type: D
• Archive: No

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STATE OF COLORADO
MINED LAND RECLAMATION DIVISION
Department of Natural Resources
t3t3 Sherman St.. Room 215
Denver. CO 80203
303 666-3567
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FreE R. Banta.
Division Director
August 30, 1991
Mr. Russel Brown
The Cortez Newspapers, Inc.
P.O. Drawer 0
Cortez, CO 81321
Re: Tax Lien, Hawk's Nest East Mine Site Property
Dear Mr. Brown:
This letter is in response to your August 19, 1991 Letter regarding the
purchase of a property in Gunnison County via a tax lien. Although the copy
of the certificate enclosed with the letter did not include a precise legal
description, it appears that the property in question is known as the east
mine area of the Hawk's Nest mining operation situated in Section 11,
Township 13 South, Range 90 West, 6th P.M.
The mine operator, Western Siope Carbon, Inc., was granted a mining permit by
our office on June 7, 1993. The terms of a permit require that the operator
reclaim the mine site after mining operations have ended. In the event the
operator fails to comply with the terms of the permit, the State is required
to reclaim the site using performance bond monies provided to the State by the
mine operator at the time of permit issuance. This situation occurred with
Western Slope Carbon, Inc. in 1988 when the Division issued a recommendation
on September 15, 1983 tha*_ the 5 year permit not be renewed due to
non-compliance with the terms of the permit and violations of the regulations
for coal mining.
This recommendation was presented to the Mined Land Reclamation Board, after
proper notice, on November 15, 1988 and again on December 14, 1986 after
granting of a continuance. Based on the results of the hearing, the Bcard
ordered on January 6, 1989 that the permit not be renewed, that the
performance bond be forfeited, and that the Division use the bond monies to
reclaim the mine site. Reclamation work has been underway since December,
1989 and should be completed by the Fall of 1992. Reclamation work at the
East Mine area in particular should be completed by November of this year. At
the present time, all structures and facilities at the East Mine Area have
been demolished and removed, all mine openings sealed, and site regarding work
is approximately 507 completed.