GENERAL42105

• Permit No: C1981013
• IBM Index Class Name: General Documents
• Doc Date: 9/23/1994
• Doc Name: RESPONSE TO THE DRAFT COLO 1994 ANNUAL EVALUATION REPORT AER
• From: DMG
• To: DAN HERNANDEZ
• Permit Index Doc Type: GENERAL CORRESPONDENCE
• Media Type: D
• Archive: No

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STATE OF COLORADO
DIVISION OF MINERALS AND GEOLOGY
DeVarlmem of Natural Resources
1 313 Sherman 51.. Room 215

Denver, Colorado 80203 I~~~~
Phone [phone]
FAX. [phone]
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Date: September 23
1994
, Roy Romer
Governor
To: Dan Hernandez lame. s Lochnead
E..ecuave Duecior
1 Michael B. Long
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From: Joe Dudas
Division Direaar
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Re: Response to the Draft Colorado 1994 Annual Evaluation Report (AER)
On September 22, 1994, you asked me to respond to one item in the 1994 AER. The item is on
page 8 of the AER and reads, "DMG acted improperly in allowing a new entity to operate two
mines prior to approving permit transfers." The two mines in questions are the Golden Eagle
Mine and the New Elk Mine. I have reviewed the matter and have the following comments.
I disagree with the conclusion by AFO that DMG acted improperly in this situation. On
June 1, 1991, Entec, Inc. became the new parent company for the permittee, Wyoming Fuel
Company (WFC). WFC remained the permittce for the Golden Eagle and New Elk Mines.
From June 1991 through August 1991, the Division received, reviewed and approved Minor
Revision No. 23 for the updating of the ownership and control information.
In March of 1992, the Division became aware of WFC's intent to change its name. From May
1992 to January 1993, the Division received, reviewed and approved the Succession of Operator
for the Golden Eagle Mine and the New Elk Mine. The proposed decision to approve the
permittce name change occurred on January 7, 1993.
During this review process, the Applicant Violator System (AVS) showed "issue." However,
three days before the proposed decision was to become fmal, the AVS system showed "deny."
From February 1993 through early March 1993, the Division worked with the operator to resolve
this problem.
On March 29, 1993, the AVS issue was resolved, fmdings were made and the proposed decision
to approve the name change was made. On April 21, 1993, the Succession of Operator for the
Golden Eagle Mine and the New Elk Mine received fmal approval.
In summary, [he Division followed proper procedures in the change in parent companies and in
the name change of the permittee.
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