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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <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 />May 27, 2008 <br />COLORADO <br />D I V Ii5 I O N O F <br />RECLAMATION <br />MINING <br />.C. - <br />Bill Ritter, jr. <br />Governor <br />Scott Wanstedt Harris D. Sherman <br />Executive Director <br />Blue Mountain Energy, Inc. Ronald W. Cattany <br />3607 County Road #65 Division Director <br />Rangely, CO 81648 Natural Resource Trustee <br />RE: Deserado Mine, Permit C-81-018, Technical Revision No. 65, Adequacy Review Responses <br />Dear Mr. Wanstedt, <br />The Colorado Division of Reclamation, Mining, and Safety (Division) has reviewed Blue Mountain <br />Energy's April 8, 2008 responses to items which the Division found inadequate under a cover letter <br />dated August 15, 2007. Please address the Division's comments as noted below. <br />1. Item resolved <br />2. Blue Mountain Energy has inserted the following text to page III - 18 <br />"This visual daily monitoring will occur between the posted subsidence hazard signs, <br />commencing, when the longwall has advanced under the road right-of-way and continue until <br />mining has advanced 500 feet past the section of road. Any subsidence damage will be <br />repaired; including any cracks that could create a safety hazard or delay traffic. If portions of <br />County Road 65 are undermined within a 6 month period, BME will report the results of the <br />monitoring and mitigation measures taken, if any, as an attachment to the quarterly refuse pile <br />inspections". Item Resolved <br />3. Item Resolved <br />4. It is reasonable to not sample for those constituents which do not have a reasonable potential of <br />being coal gob leachate by analogy with CWCD's policy for surface water that is described in <br />"Determination of the Requirements to Include Water Quality Standards-Based Limits in <br />CPDS Permits based on Reasonable Potential", February 2003. Item Resolved <br />5. Hardness is not in Tables 1-4 of the Basic Standards for ground water. TDS sampling <br />(currently required) would indirectly indicate an increase in ground water hardness. <br />Item Resolved <br />Office of Office of <br />Mined Land Reclamation Denver • Grand )unction • Durango Active and Inactive Mines