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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 />19 December 2003 <br />Mr. Jim Kiger <br />Oxbow Mining LLC <br />P.O. Box 535 <br />Somerset CO 81434 <br />RE: 2002 Annual Hydrology Report <br />Dear Mr. Kiger. <br />The Division has completed review of the 2001 Annual Hydrology Report submitted by Oxbow <br />Mining LLC. The AHR is reviewed against monitoring requirements and against those <br />predictions contained in the Probable Hydrologic Consequences" (PHC) section of the permit. <br />The predictions in the PHC are listed and comments for each follow. <br />Surface water: <br />(1) The mine area will experience temporary increases in runoff. <br />There is nothing within the AHR to allow an assessment of this statement. <br />(2) Minor reductions in surface, flows and alteration of surface flow patterns will occur because <br />of the ponds. <br />Intuitively obvious, but not treated by the contents of the AHR. <br />COLORADO <br />DIVISION O F <br />MINERALS <br />GEOLOGY <br />0.ECUMATION•NINING <br />SA FE TY•SCIENCE <br />Bill Owens <br />Governor <br />Greg E. Walther <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Natural Resource Trustee <br />(3) There will be changes in surface water chemistry through higher total dissolved solids (TDS), <br />total suspended solids (TES), and certain other analytes. <br />This has probably occurred, but since the coal mining activity predates the earliest baseline water <br />quality data, it is not demonstrable. <br />(4) The channel of Elk Creek will be diverted and run through a culvert. <br />This has been done. <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />