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., October 21, 2002 Mr. Jim Burnell Environmental Protection Specialist Colorado Division of Minerals and Geology 1313 Sherman Street, Room 215 Denver, Colorado 80203 Re: Permit C-1981-022, Oxbow Mining L.L.C. 2002 Annual Subsidence Report Dear Mr. Burnell: RECEIVED OCT 14 2001 Division of Minerals and Geology This subsidence monitoring report is submitted as required by Permit C-1981-022, Section 2.05.6, page 2.05-103. During June and October of each yeaz, Oxbow Mining L.L.C. (OMLLC) is required to visually inspect the pre-existing mass movement features located within the permit area in the vicinity of the Sanborn Creek mine Particular attention is to be focused upon the landslide located on the east valley slope of Coal Gulch, the landslide features located within tfieiinnamed~drainage between the Sanborn Creek and Coal Gulch drainages, and the landslide located ~on the west valley slope of Hawksnest Creek. If significant new mass movement features aze noted, they are to be brought to the attention of the Division. Previously, OMLLC employee Mr. Tom Anderson participated in the conduct of the required inspections. To provided continuity with respect to the specific areas to be inspected and to provide a perspective regazding any perceived changes to any of the mass movement features Mr. Anderson accompanied the undersigned during these inspections. During the past five years, a visual subsidence-monitoring program had become part of the routine monitoring of Springs 1 through 11.. Springs 1 through 6 aze reached from the BLivii U. ~. rotest service road iocaied iri the Coai"uuich arainage. During trips is iitese springs from April to October, the higher elevations of the permit area for the Sanborn Creek Mine and the Sanbom East Tract were visually inspected for mass movement features, with particular attention focused on the landslides in Coal Gulch and Hawksnest Creek. Springs 7 through 11 are located along old Highway 133 in the lower elevations of the permit area for the Sanborn Creek Mine and the Sanborn East Tract. During monthly monitoring the lower elevations were visually inspected for mass movement features, with particular attention focused on the landslides in Coal Gulch and the unnamed drainage between the Sanbom Creek and Coal Gulch drainages, above Springs 7 and 9 respectively. _ ~,.. An analysis'of the previous results of this monitoring program suggests there has been no ~.. ldetitified recent mgvement in the slide features either naturally or associated with mining activities. ~ ' ' ~ ~~ 3737 Hwy 133 P.O. Box 535 Somerset, Colorado 81434 USA TEL (970) 929-5122 FAX (970) 929-5177