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Division. On March 15, 1990, additional concerns relating to the initial <br />adequacy concerns which had not been adequately addressed were sent to Rimrock <br />Coal Company. Additional information addressing the concerns was received <br />from Rimrock Coal Company on April 4, 1990. Another letter requesting <br />additional information was sent to Rimrock Coal Company on April 13, 1990. <br />Final responses were received by the Division on July 5, 1990. Based on <br />satisfactory resolution of concerns identified during the adequacy review, the <br />Division prepared the Findings of Compliance and proposed to approve the <br />permit application with stipulations. <br />On December 12, 1990, the permit was issued but was not effective since the <br />reclamation bond of $53,000.00 had not been supplied to the Division. <br />With the passing of the original sole proprietor, Mr. William T. Davis, <br />ownership was transferred to Mrs. Lucy Gloria Davis, Mr. Davis' widow and sole <br />heir. On March 27, 1992 and April 21, 1992, the Division received information <br />confirming this transfer. On July 9, 1992, the Division received notification <br />that Rimrock Coal Company was anticipating the startup of mining operations at <br />the Rimrock Strip Mine and that the mining and reclamation operations had been <br />contracted out to Randall and Blake, Inc. (Landmark Reclamation, Inc.). <br />On July 13, 1992, the reclamation bond was recalculated at $62,000.00. On <br />October 28, 1992, Rimrock Coal Company delivered to the Division the Letter of <br />Credit for $62,000.00. The Division approved the Letter of Credit on <br />November 6, 1992, thereby making the permit effective so that coal mining <br />operations could begin. <br />On November 10, 1992, the Division received notification that the Santa Fe <br />Loadout, operated by Energy Fuels Mining Company, would be leased to Landmark <br />Reclamation, Inc. for the loading of coal from the Rimrock Strip Mine. The <br />actual lease agreement was received by the Division on December 18, 1992. <br />Coal mining operations began in the last half of November. The expectation at <br />the time was that 100,000 tons of coal would be mined from the west side <br />during phase one of the operation. A series of five pits, each 40 feet wide <br />and 800 feet to 900 feet long, would be developed, with reclamation of the <br />pits occurring contemporaneously. Approximately 6,000 tons of coal would be <br />produced per month, with coal quality at around 12,000 BTU. Phase two <br />operations on the east side were to yield 50,000 tons of coal. <br />However, coal quality sharply declined as the first pit advanced to the <br />north. In addition, a hard sandstone bed, 4 feet thick, capped the coal, <br />increasing overburden removal costs. After only filling several coal cars <br />with coal, the operations were halted. Notification of temporary cessation <br />status was received at the Division on February 11, 1993. <br />Rimrock Coal Company received one Notice of Violation at the Rimrock Strip <br />Mine. Based on the January 13, 1993 inspection of the mine site, NOV C-93-005 <br />was issued on January 28, 1993 for failure to construct the sediment pond <br />embankment per regulations. At the time of this midterm review, the NOV is <br />still under review. <br />-2- <br />