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r <br /> <br /> <br />produce at least commercial quantities (1$ x 29,000 tons = 290 <br />tons) for each continued operation year thereafter. Commercial <br />quantities is not expected to be mined from the Lease during <br />the forthcoming continued operation year which begins September <br />1, 1987 since the Mines were idled and the remaining reserves <br />are not mineable for many years. The three year rolling <br />average provision, which is described in 43 C.F.R. 3480.0- <br />5(a)(8), is of no help in this situation because the Lease is <br />only in its second continued operation year. <br />Powderhorn must keep the Lease in compliance with FCLAA <br />requirements in order to maintain its rights under the Lease to <br />assure that the remaining coal reserves are conserved and <br />eventually mined. These rights must be maintained while the <br />Mines are idle for market reasons and after the Mines resume <br />production, since the reserves will not be mined for many <br />years, even under favorable market conditions. For the reasons <br />described above, it may be 20 to 40 years before the remaining <br />reserves in the Lease are mined. <br />The best and possibly the only way for Powderhorn to <br />maintain its rights under the Lease for such an extended period <br />of time and thus conserve the coal is for BLM to grant a <br />suspension of operations and production in the interest of <br />conservation under Section 39 of the MLA, its related regula- <br />tions as found in 43 C.F.R. 3473.4 and 3483.3, and the final <br />Coal and Solid Minerals Suspension Guidelines, which were <br />released on June 15, 1987. Otherwise, Powderhorn could be <br />faced with the unpleasant and distasteful alternative of <br />- 4 - <br />