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Midterm Review <br />Cazbon Junction Mine <br />C-92-080 <br />This document presents the results of the Midterm Review of Oakridge Energy's Cazbon Junction <br />Mine, conducted by the Colorado Division of Minerals and Geology ([he Division). This Midterm <br />Review was conducted to fulfill the requirements of the Colorado Surface Coal Mining Reclamation <br />Act, and Rules 2.08.3, 2.06.2(9), 2.06.3(4), 2.06.5(3), 2.06.7(5), and 3.02.2(4) of the Rules and <br />Regulations of the Colorado Mined Land Reclamation Board for Coal Mining, promulgated to <br />implement the Act. <br />Rule 2.08.3 requires that the Division conduct a review of each permit issued, prior to its midterm <br />(2'/z years). Based on this review, for good cause shown, the Division may require reasonable <br />revisions to, or modifications of, the permit provisions to ensure compliance with the Act and <br />Regulations. <br />Rules 2.06.2, 2.06.3, 2.06.5, and 2.06.7 require that during the midterm review, where applicable, <br />experimental practices, mountaintop removal variances, variances from approximate original <br />contour (AOC), and variances from contemporaneous reclamation, respectively, be reviewed by the <br />Division. The Carbon Junction Mine does not conduct experimental practices, nor have variances <br />been granted for mountaintop removal or approximate original contour. <br />Rule 3.02.2(4) requires that the Division review the amount of performance bond liability and the <br />terms of acceptance of the bond every 2%z years. <br />This midterm review consisted of a detailed review of the Carbon Junction Mine permit application <br />and previous Division findings of compliance to identify any items that may have been overlooked <br />during the last permit renewal review. The Division also reviewed all subsequent revisions and <br />responses to ensure that all permit commitments and conditions were being followed. Hydrologic <br />monitoring data was reviewed in conjunction with the review of the application to assess the <br />adequacy of the monitoring plan and discussion of predicted hydrologic impacts. Problems and <br />observations from pas[ Division inspection reports were also considered. <br />Section I -History <br />The Cazbon Junction Mine (C-82-054) was previously operated by Pueblo Coal, Incorporated, from its <br />original pertni[ date of October 25, 1983 until the company became insolvent when [he permit was <br />revoked and the bond forfeit on July 25, 1990. Due to the failure and closing of the Texas American <br />Bank/Forth Worth, Texas, the Division was unable to collect the bond money to perform reclamation <br />activities a[ the mine site. <br />During the legal process of trying to obtain the bond monies from the bankruptcy courts, the parent <br />corporation of Pueblo Coal, Oakridge Energy, Inc., entered into an agreement with the State of <br />Colorado to replace the bond and re-permit the Carbon Junction Mine under an entirely new permit. <br />The new permit application (C-92-080) was approved on July 30, 1993. There has been no coal extracted <br />from the mine since September 1985. <br />