Laserfiche WebLink
ti. <br />sss <br />P ~ The Pittsburg & Midway Coal Mining Co. <br />A Chevron Company <br />6400 South Fiddler's Green Circle, Englewood, CO 80111 • Phone 13031 930-3600 <br />December ~ I(~~j ~ P ~ ~ ~f <br />Mr. Larry Routten CSC 2 ~ 1991 <br />Colorado Mined Land Reclamation Division <br />Department of Natural Resources Mined Land <br />1313 Sherman Street, Room 215 F3a^~«mation D~••°-' <br />Denver, CO 80203 <br />RE: EDNA MINE PERMIT C-80-001 <br />REQUEST FOR APPROVAL OF 1992-1996 PERMIT TERM LIABII.ITY <br />AMOUNT AND ITS PROPOSED REDUCTION AT END YEAR 1 <br />Dear Mr. Routten: <br />Per your request of 12/11/91, the Edna Mine 1992-1996 Permit Term Liability <br />Evaluation and Exhibit 4.8-1 are enclosed. These materials address the <br />determination of Edna's liability for the upcoming permit term. Also enclosed are <br />copies of the cover letters sent to the federal agencies listed by the COMLRD, <br />submitted to the COMLRD as proof of distribution. <br />Edna Mine 1992-1996 Permit Term Liability has been calculated at $6,400,000. The <br />estimate is conservative, reflecting the cost required to completely reclaim the Edna <br />Mine at the end of 1992, the permit term year requiring the largest amount of <br />reclamation work. The methods and calculations used to determine the liability <br />estimate are detailed in the aforementioned enclosures. <br />In addition to the above submittals, P&M requests approval of a reduction in Edna's <br />liability at the end of Year 1. At the end of Year 1, P&M anticipates completion of this <br />the West Ridge Area`s reclamation work. This work accounts for approximately 30% <br />of the calculated Year 1 liability. As a result of its completion, therefore, the Edna <br />Mine will be bonded in excess of nearly $2,000,000.00 during the remaining four years <br />of the permit term. This is economically undesirable. P&M therefore proposes the <br />following plan for the fourth quarter of Year 1 (1992): <br />1. P&M submits an updated liability amount for the Edna Mine; <br />2. COMLRD staff conduct an on site inspection of the West Ridge Area's <br />reclamation; and <br />3. Upon COMLRD approval, Edna's liability would be lowered to that of Year 2, the <br />"next to worst case" year. <br />