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• APPENDIX C <br />The right of Grand Valley Coal Company to enter and begin coal <br />mining operations in the permit area is based upon Federal Coal <br />Leases No. C-0125439 and C-0125515; as well as, ownership and <br />private coal mining leases for a 120 acre block of private land in <br />the 1/2 S, 1/2 S of Section 22, in Township 7 S Range 102 W. <br />Federal Leases <br />The Federal Leases were originally issued to Industrial Resources, <br />Inc. on May 1, 1968. The leases were assigned to Sheridan <br />finterprises, Inc. on December 22, 1977. The Leases were then <br />• assigned to Salt Creek Mining Company effective April 1, 1981. Coal <br />Lease Readjustments in the name of Salt Creek Mining Company were <br />issued on May 1, 1988. <br />On October 16, 1992, Grand Valley Coal Company purchased the assets <br />of Salt Creek Mining Company. Included with the assets were the six <br />Federal Coal Leases. The lease assignments were approved by the <br />Bureau of land Management as shown on Pages C-4 and C-5. <br />The leases give Grand Valley the right to enter upon the surface of <br />the leased lands and to mine the coal contained within the <br />boundaries of the lease. Both the surface estate and the coal in <br />the lands covered by the leases are owned by the United States. <br /> <br />'0~" <br />C-1 4/29/94 <br />