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y <br />r ~ III IIIIIIIIIIIIIIII <br />DEPARTMENT OF NATURAL RESOURCES <br />Davitl H. Getches, Executive Director <br />MINED LAND RECLAMATION DIVISION <br />DAVID C. SHELTO N, Director <br />Ricnard D. Lamm <br />Governor <br />May 29, 1986 <br />Meg Estep <br />Office of Surface Mining <br />Western Technical Center <br />Brooks Towers <br />1020 15th Street <br />Denver, Colorado 80202 <br />Re: Deserado Mine Performance Bond Update - File No. C-018-81 <br />Dear Ms. Estep: <br />Asa result of the Division's recent mid-term review of the Deserado Mine <br />permit, the bond amount was reviewed and updated to reflect current estimated <br />reclamation costs. At the time of original permit issuance in July of 1981, <br />the bond amount was set at 56,000,000. Review of the bond at the mid-term <br />date of the permit resulted in an increase in the amount by E160,140 to a new <br />bond total of 56,160,140. Unfortunately, this new amount was overstated by <br />E42,325 in the Division's February 28, 1986 Proposed Decision and Findings of <br />Compliance for the additional lease area permit revision approval. This <br />discrepancy was subsequently corrected in the Division's May 9, 1986 approval <br />of the mid-term review technical revision and was noted on the approval form <br />(copy attached). <br />Tommy D. Raye of Western Fuels was contacted recently regarding a date for <br />submittal of the revised bond amount. Mr. Raye indicated that a new letter of <br />credit bond in the amount of E6,250,000 would be submitted by May 30, 1986 to <br />the Division. <br />If you have any questions regarding this matter, please contact me at 866-3567. <br />Sincerely, <br />/- ~~~_ <br />Tom Gillis <br />Reclamation Specialist <br />TG/srs <br />0659E <br />423 Centennial Building, 1313 Sherman Street Denver, Colorado 80203 Tel. (303) 866-3567 <br />