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r. Dan Hadley - 3 - April 23, 1987 <br />Coal Exploration <br />Following is a summary of responsibility attributed to Kaiser Coal Company for <br />coal exploration. The three companies involved and their projects are <br />identified below: <br />Perma Resources <br />CX-127-01, Huerfano County, 57,000.00, Certificate of Deposit No. 1066 <br />CX-172-03, Fremont County, 5500.00, Certificate of Deposit, No. 1066 <br />In Huerfano County the work required is largely related to successful <br />revegetation of drill sites. However, some drill holes have been completed as <br />monitoring wells which are only temporarily sealed. Therefore, permanent <br />sealing at some point will be required. <br />In Fremont County revegetation success <br />have not been inspected since 1983, so <br />adequately revegetated. <br />Chimney Rock Coal <br />is all that is required. The sites <br />it is possible that the sites have been <br />The Division has proposed to release the bond held for this project, <br />CX-184-00. After completion of the public comment period, and if no adverse <br />comments are received, Chimney Rock will be released from liability. <br />Colorado Pacific Energy <br />CX-148-03, La Plata County, 54,400.00 Corporate Surety <br />Five holes were proposed to be drilled, no reports have been submitted or <br />inspections conducted. The company must submit appropriate reports and an <br />inspection conducted by the Division. <br />CX-148-00, La Plata County, 58,353.00 Corporate Surety <br />CX-148-01, La Plata County, 52,054.00 Corporate Surety <br />Sites last inspected in 1981. Only revegetation success was required. <br />Summary <br />The issues that are of greatest concern and that present an immediate <br />compliance problem pertain to the Chimney Rock material balance evaluation and <br />the reclamation cost estimate. These need to be resolved. The Division <br />requests that Kaise add;~e3s`the-material balance and reclamation cost <br />estimate iss June 15, 1987. Failure to do so may result in the Division <br />taking appro ri a enforcem ction. An appropriate response will discuss <br />the magnitude of t e im a ance relative to the final pit configuration, and <br />will propose a solution to the problem. These concerns were previously <br />addressed during the mid-term review. Based on the response, the Division <br />will estimate the reclamation cost and the amount of bond to be posted. <br /> <br />