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Submittal of Bond Release Application and <br />Completeness Deternunation by the Division <br />The Division received Sunland's bond release application SL-2 on September 12, 2002, and <br />found the application complete on October 16, 2002, after the Division received proof of <br />publication of the applicant's public notice. The completeness determination was made in <br />accordance with Section 3.03.2(1)(d). <br />Sunland submitted the bond release application following the procedures described in the Act and <br />the Regulations. The application also utilizes the Division's Guideline Regarding Selected Coal <br />Mine Bond Release Issues, dated April 18, 1995. <br />Public Notice <br />Sunland published notice of the bond release application in the Steamboat Pilot once weekly for four <br />consecutive weeks, beginning on September 15, 2002. Sunland also notified landowners within and <br />adjacent to the mine permit area, and other interested parties of the application for bond release, as <br />required by Section 3.03.2(1). The newspaper notice and notifications to the various parties said that <br />the bond release application requested only a Phase I release for the pond and east yazd drainage <br />control berm, and a Phase II and III release for the rest of the pemut area. After publishing the notice <br />and notifying the landowners, Sunland submitted Technical Revision 13 to the Division requesting <br />that the pond be left permanent. After that revision was approved, Sunland revised the bond release <br />application, to include a Phase II and III release for the east yazd drainage control berm and the <br />pond, thus changing the bond release application to a full Phase III release. To satisfy the bond <br />release notice requirements of Section 3.03.2(1), Sunland published a corrected public notice in the <br />Steamboat Pilot once weekly for four consecutive weeks, beginning on December 15, 2002. Sanland <br />also re-notified the previously notified landowners and other parties. <br />Bond Release Inspection <br />The Division conducted a bond release inspection on October 24, 2002. The site inspection was <br />conducted in accordance with Section 3.03.2(2). Tom Kaldenbach represented the Colorado <br />Division of Minerals and Geology. The operator was represented by Greg Lewicki of Greg <br />Lewicki and Associates, and Bud Long of Costain America, Inc. (the pazent company of the <br />operator, Sunland Mining Corporation). Dan and Bernazd Knott represented Knott Land and <br />Livestock Company, Inc., the landowner of the disturbed area. The Division notified the Office <br />of Surface Mining and the Bureau of Land Management, but they did not attend the inspection. <br />The inspection report is on file at the Denver office of the Division of Minerals and Geology. <br />Technical Review <br />The Division reviewed technical aspects of Sunland's bond release submittal in order to determine <br />if the requested bond release is warranted. The review evaluated the methods that Sunland used in <br />gathering and processing the data in the bond release application. The review considered the <br />technical validity of the conclusions that Sunland presented in the application. The Division also <br />Apex No. 2 Mine Page 4 January 24, 2003 <br />Phases I, II, and III Bond Release <br />