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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />RF~'~~~~ <br />o;~, UG p ~ <br />°/Rj7gerdh Q <br />S'On ~ ~ -V <br />eA~ <br />CQ%AY <br />COLORADO <br />DIVISION OF <br />MINERALS <br />GEOLOGY <br />REC LAMATION•MI NING <br />SAFETY•SC IENCE <br />July 25, 2005/ <br />Tim Scanlon <br />TMS Consulting r/ <br />Bil I Owens <br />Governor <br />Russell George <br />Executive Director <br />Ronald W. Cottony <br />P.O. Box 53 Division Director <br />Saguache, Colorado/81149 / Natural Resource Trustee <br />V V <br />Re: Gray Pit No. 2 Pit, Application No. M-2005-012, Initial Reclamation Liability Estimate. <br />Dear Mr. Scanlon: <br />Staff has completed the "Initial Reclamation Liability Estimate for the above referenced <br />application. The estimate is based on submitted Mine Plan, which calls for concurrent <br />reclamation of benches as mining progresses. Therefore, it will be very important for the <br />applicant to keep the total maximum disturbance at 3 acres or less. This allows .5 acres of <br />bench for mining, .5 acres of reclaimed slope and approximately 2 acres for staging and <br />stockpiling. The small disturbance area is due to steep terrain and working conditions. If the <br />operator finds more workroom is feasible a Technical Revision will be required and a new bond <br />estimate calculated at that time. <br />Staff has calculated the initial reclamation liability to be $16,500.00. Please review the <br />reclamation tasks carefully and report any errors or miscalculations to staff immediately. If the <br />applicant accepts the bond amount, please inform staff in writing as soon as possible. <br />If you need additional information, please contact me at the Division of Minerals and Geology, <br />Grand Junction Field Office, 101 S. 3rd St., Suite 301, Grand Junction, CO 81501-telephone no. <br />970.241.1117. <br />Sinc ly, <br />Russ Means <br />Environmental Protection Specialist <br />Offire of nffi~c of r..l..r~.ln <br />