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NATIONAL KING COAL, INC. <br />p~ <br />April 1, 1998 <br />III IIIIIIIIIIIII III <br />999 <br />State of Colorado <br />Division of Minerals and Geology <br />11313 Sherman Street <br />Room 215 <br />Denver, Colorado 80203-2273 <br />Attention: Harry Ranney, Reclamation Specialist <br />MINE OFFICE: <br />4424 County Road 120 <br />Hesperus, Colorado 81326 <br />Telephone: <br />(J 03) 385-6528 <br />Fez: <br />(303) 3856638 <br />RECEIVED <br />APR 0 6 1996 <br />Division of Minerals & Geology <br />Re: First Quarter 1998 Surface Subsidence Inspection <br />First Quarter 1998 Huntington Ditch Inspection <br />Dear Harry: <br />There are no new cracks over Section No. 4 Right as of this <br />inspection. <br />Another area where pillars have recently been extracted is <br />beneath the Dunn/Ute Mountain Ute Tribe Lease. OSM has been <br />checking, measuring, photographing and mapping these cracks on a <br />monthly basis. These cracks look much like the cracks which are <br />not under OSM jurisdiction. <br />The other areas where pillars have recently been extracted are <br />Sections No. 6 South and 5 South/1 Left. The 6 South area <br />exhibits normal subsidence tension cracks extending north from a <br />point about 300 feet north of the Huntington Ditch. This area of <br />the ditch has been replaced with a buried pipeline. No cracks <br />appear to be approaching the pipeline. Due to snowfall during <br />the first quarter of 1998, inspections were impossible. <br />Call if you have any questions. <br />Sincerely, <br />Tom Bird <br />Planning & Engineering <br />National King Coal, LLC <br />1315 Main Avenue, N314 <br />Post Office Box 2905 <br />Durango, Colorado 81302 <br />Telephone: <br />(303) 259-2416 <br />Faz: <br />(303) 259-4818 <br />