PERMFILE103551

• Permit No: C1984067
• IBM Index Class Name: Permit File
• Doc Date: 12/11/2001
• Section_Exhibit Name: INTRODUCTION
• Media Type: D
• Archive: No

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_ Doc Date:12/11/2001
SI ~ INTRODUCTION
•
Peerless Resources, Inc. has recently acquired leases and deeds from
Arness-McGriffin Coal Company and plans to begin mining on these leases
in an area west of Durango, Colorado. With this application, Peerless
Resources has prepared a mining and reclamation plan in order to initiate
underground mining operations. Peerless Resources is requesting approval
for this area of mining under the regulatory program of the Colorado
Surface Coal Mining Act.
GEOGRAPHIC SETTING
The Coal Gulch Mine is located west of Durango, in La Plata County,
Colorado, on State Highway 160. The mine site is approximately five (5)
miles west of Durango, as shown on Figure 1, General Location Map. The
elevation of the portal locations for the Coal Gulch Mine is
approximately 7,100 feet above sea level. The entire mining operation is
• in La Plata County, Colorado. The portal area of the Coal Gulch Mine is
drained by an ephemeral drainage known as Coal Gulch. Coal Gulch runs in
a southeast-east direction and flows into Lightner Creek approximately
one mile east of the Coal Gulch Mine. Lightner Creek eventually flows
into the Animas River near Durango.
EACKGROUND OF MINING IN COAL GULCH AREA
Underground mining operations were initiated in the Coal Gulch area
around the turn of the century. Several small underground operations
operated until the 1960's. In mid-1975, Arness-McGriffin Coal Company
began developing coal deposits in Coal Gulch for additional future
underground mining operations. However, difficult economic years in the
early 80's, and the absence of a mining and reclamation permit
application, caused mining to cease in the area in 1982.
Besides Arness-McGriffin Coal Company, at least seven underground mines
were operated in the area from the period of 1890 to 1969. These mines
include the following:
-1-