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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />1373 Sherman St., Room 275 <br />Denver, Colorado 80203 <br />Phone: (303) 8663567 <br />FAX: (303) 832-8706 <br />September 17, 2004 <br />COLORADO <br />DIVISION O F <br />MINERALS <br />GEOLOGY <br />YEC LAM ATION•MIN ING <br />SAFETY•SCIENCE <br />Bill Owens <br />GGVemor <br />Russell Ceorge <br />Mr. Daniel E. Beaz Executive Director <br />Beaz Coal Company Ronald W. Cattany <br />P.O. Box 1754 Division Director <br />Paonia, Colorado 81428 Natural Resource Trustee <br />RE: Bear No. 3 Mine, Permit No. C-81-033, Beaz Coal Company, 2001 Annual Hydrology <br />Report, Adequacy Review <br />Deaz Mr. Bear: <br />A recent examination of the Division's files indicated that the Division's review of the 2001 <br />Annual Hydrology Report (AHR) for the Beaz No. 3 Mine was never documented. Therefore, <br />this letter acts as the Division's adequacy review letter for the 2001 AHR. <br />Except for one small discrepancy, which is mentioned in item number 1 below, all hydrologic <br />monitoring in 2001 was conducted according to the approved plan. There were no indications of <br />compliance problems with any of the hydrologic monitoring results. The sediment pond, NPDES <br />outfa11004, did not dischazge in 2001. The new mine water treatment pond, NPDES outfall <br />number 001, did dischazge during 2001 and the Division has one comment in item number 2 <br />below concerning this pond. There was nothing unusual or out of compliance with the hydrologic <br />monitoring results for the upstream and downstream stations of the North Fork of the Gunnison <br />River. There was only a slight impact on the quality of the river water due to mining operations. <br />The increase in TDS in the river water due to mining impacts was within the pazameters <br />predicted in the Probable Hydrologic Consequences of the permit application. The Division also <br />has one comment concerning alluvial well AA-1. <br />1. Permit application page 2.04-30 states that the springs in Lone Pine Gulch aze to be <br />monitored for monthly flow and field pazameters from May through November. However, <br />in the 2001 AHR, monitoring only went from May through September in 2001. In the <br />future, please monitor these springs according to the approved plan. <br />On page 4 of the 2001 AHR, reference is made to the mine water pond dischazge tables. <br />However, no such tables were included in the report. Please submit the missing tables. <br />3. On the graph showing water elevations for AAl and AA3, the water elevation data for <br />Office of Office of Colorado <br />Mrned Land Reclamation Active and Inactive Mines Geological Survey <br />