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I. INTRODUCTION <br />Purpose of this Document <br />This document presents the findings of compliance and the proposed decision of the Colorado <br />Division of Minerals and Geology ("Division") fora Phase I bond release at the West Elk Mine. <br />The Division file number for the bond release application is SL-O1. The mining and reclamation <br />permit number is C-80-007. These findings and the decision are made in response to a request for <br />the release of part of a reclamation bond at the West Elk Mine. The bond release request was <br />submitted to the Division by the operator of the mine, Mountain Coal Company LLC (MCC). MCC <br />is requesting release of $79,727 of reclamation bond. MCC has $11,500,000 of reclamation bond on <br />deposit with the Division. The area for which bond release is being requested (the "bond release <br />area")island disturbed by mining operations in the Thermal Event Area. The bond release request is <br />for Phase I release on approximately 15 acres. <br />Contents of this Document <br />This document contains the following five parts: <br />I. Introduction; <br />II. Summary of the Bond Release Process; <br />III. Approval Criteria for Bond Release; <br />IV. Observations and Findings; and <br />V. Proposed Decision. <br />Baclcaround Information Sources <br />Detailed information about the bond release review process can be found in the Colorado Surface <br />Coal Mining Reclamation Act, the Regulations of the Colorado Mined Land Reclamation Board for <br />Coal Mining, and in the Guideline ReQardinQ Selected Coal Mine Bond Release Issues, dated April <br />18, 1995. All "Sections" referenced within this document are contained within the Regulations. <br />Detailed information about mining and reclamation operations at the West Elk Mine can be found in <br />mining and reclamation permit application C-80-007 on file at the Division offices, located at 1313 <br />Sherman Street, Room 215, in Denver, Colorado. <br />Location of Bond Release Area <br />The West Elk Mine is located in Gunnison County, approximately 1 mile east of Somerset, <br />Colorado. The bond release area is located in Sections 20 and 29, Township 13 South, Range 90 <br />West. <br />