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project designed to evaluate the technical and economic feasibility of <br />underground mining operations on the Wadge coal seam, which previously <br />was surface mined in the portal area, and on dip slopes to the south and <br />southwest by TCC's sister company, Colorado Yampa Coal Company (CYCC). <br />Existing surface disturbance is limited to portals, surface support <br />facilities and an underground development waste area, all of which are <br />located in a strip pit at the base of CYCC's Mine No. 1 reclaimed <br />spoils. The portion of the pit occupied by the facilities (designated <br />the Area 2 Pit) was excavated and the coal extracted by CYCC prior to <br />initiation of underground mine developmental work. A variance from <br />contemporaneous reclamation was approved to accommodate the underground <br />mine portals and associated surface facilities. <br />The new permit revision application proposes to expand the project into a <br />35 year mining operation utilizing both room and pillar and longwall <br />techniques, with a peak production of approximately 3.5 million tons per <br />year. The proposed life of mine permit boundary encompasses 13,114 acres <br />and involves both federal and privately awned coal. <br />New and expanded surface facilities within or adjacent to the existing <br />portal area on Foidel Creek will include an office bath house complex, <br />new conveyor facilities, transfer building and 150,000 ton open coal <br />stockpile and loadout facilities. The existing waste disposal site <br />within the Area 2 pit would be expanded. In addition, approximately 5 <br />acres would be disturbed by construction of a dewatering borehole and <br />associated facilities on Fish Creek, approximately 1 1/2 miles north of <br />the existing facilities on Foidel Creek. <br />Upon cessation of mining activities, all surface disturbance will be <br />reclaimed. Surface facilities will be removed. The portal area, Area 2 <br />pit and the waste disposal site will be backfilled with previously mined <br />spoils existing within areas adjoining the old Energy No. 1 pit. All <br />surface disturbance will be regraded to approximate original contour. <br />Topsoil from existing and proposed topsoil stockpiles will be <br />redistributed over the entire disturbed area. Revegetation will occur <br />following topsoil operations. Reclamation success will be determined by <br />statistically comparing the reclaimed areas to reference areas. <br />-8- <br />