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CHAPTER 1 <br />PURPOSE AND NEED <br />1.1 INTRODUCTION AND <br />BACKGROUND <br />This draft environmental impact statement (DEIS) <br />documents the environmental analysis pertaining to <br />offering the Dry Fork Federal Coal Lease-by- <br />Application (LBA) tract for competitive bid. This <br />EIS was prepared in accordance with the National <br />Environmental Policy Act (NEPA), and provides a <br />forum for public review and comment on the <br />proposed leasing. This DEIS also documents the <br />process used to analyze the LBA submittal, the <br />environmental impacts, and possible stipulations for <br />protection of non-coal (i.e, surface resources) in the <br />event the lease is issued. <br />T 13 S., R. 90 W, 6"' P.M <br />1. Sec. 35, lots 5-7, inclusive, and lots 9-16, <br />inclusive, less and except land in leases C- <br />1362, and COC56447, as modified; <br />2. Sec. 36, W~= SWYaNW'/a, and W`/=SW'/a, less <br />and except land in lease COC-56447, as <br />modified; <br />T. 14 S., R. 90 W., 6`" P.M <br />1. Sec. 1, lots 3, 4, S%zNW'/<, SW'/a, <br />W'/zNW'/<SE'/a, and SW'/<SE'/o; <br />2. Sec. 2, lots 1-4, inclusive, S'/zNYz, and S'/z; <br />3. Sec. 11, N'hN'h; <br />4. Sec. 12, N%zNW''/a, and NW%<NE%a. <br />In September 2003, ArkLand Company (ArkLand) <br />filed a competitive coal lease application with the <br />U.S. Department of the Interior (USDI)-Bureau of <br />Land Management (BLM), Colorado State Office <br />under the Mineral Leasing Act of 1920, as <br />amended, (30 U.S.C. Section 201), as implemented <br />by regulations found at 43 CFR 3425. The lands <br />subject to this LBA are located near Somerset, in <br />Gunnison County, Colorado. The tract is adjacent <br />to the existing underground workings of the West <br />Elk Mine operated by Mountain Coal Company, <br />LLC (MCC). ArkLand and MCC are wholly owned <br />subsidiaries of Arch Coal, Inc. of St. Louis, <br />Missouri. <br />The location of the Dry Fork LBA tract is shown on <br />Figure 1-1. The surface lands involved are National <br />Forest System (NFS) lands administered by the <br />USDA Forest Service (Forest Service) within the <br />Grand Mesa, Uncompahgre, and Gunnison National <br />Forests (GMUG). The coal resources in the Dry <br />Fork Tract are administered by the BLM through <br />the Uncompahgre Field Office in Montrose, <br />Colorado. <br />The BLM accepted the application, prepared a tract <br />delineation report (BLM 2004), and has assigned <br />the Dry Fork LBA tract with Serial Number COC- <br />67232. The legal description fot the Dry Fork LBA <br />tract as applied for by MCC, and accepted by BLM <br />through the tract delineation process is as follows: <br />Dry Fork Lease-By-Application DEIS <br />The tract contains about 1,517 acres. <br />The tract contains an estimated 17 million tons of <br />recoverable coal (BLM 2004). The coal resource <br />within this LBA tract is limited to coal recoverable <br />by underground mining methods. The Dry Fork <br />LBA tract lies to the southeast of MCC fee (private) <br />coal and fee surface property, south of existing <br />Federal coal leases COC-56447 (Box Canyon <br />Lease), and to the east of the southern extension of <br />Federal coal lease C-1362 both held by MCC. <br />ArkLand applied for all the coal seam reserves <br />within the Dry Fork LBA tract. MCC currently <br />extracts coal from the B Seam in the West Elk <br />Mine, to the north of the tract. The existing West <br />Elk Mine operations plan calls for mining both E <br />and B Seam reserves to the west and north of the <br />Dry Fork LBA tract, and MCC intends to mine E <br />Seam reserves within the Dry Fork LBA tract (see <br />Section 1.8 Reasonably Foreseeable Mining Plan <br />and Foreseeable Surface Use). <br />The BLM-Colorado State Office and the USDI- <br />Office of Stffface Mining Reclamation and <br />Enforcement are participating in this EIS as <br />cooperating agencies. <br />1-1 <br />