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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 C O L O RA D O <br /> <br />Phone: (303) 866-3567 D IV IS I ON OF <br />RECLAMATION <br />FAX: (303) 832-8106 MINING <br />November 06, 2008 SAFETY <br />Murari P. Shrestha Bill Ritter, Jr. <br />Western Fuels Association Inc Governor <br />. <br />1100 W. 116th Ave. Harris D. Sherman <br /> <br />Westminster, CO 80234 Executive Director <br /> Ronald W. Cattany <br /> Division Director <br />RE: Western Fuels-Colorado, LLC Natural Resource Trustee <br />Notice of Intent to Explore (NOI) <br />File No. X-2008-142-13 <br />Dear Mr. Shrestha, <br />The Division has reviewed the above-referenced NOI in accordance with the applicable provisions of <br />the Colorado Surface Coal Mining Act ("Act") and the Regulations of the Colorado Mined Land <br />Reclamation Board for Coal Mining ("Regulations), and has the following comments. <br />Notification of Completeness [Regulation 2.02.21 <br />Notice of Intent No. X-2008-142-13 is Complete <br />Determination of Proposed Activities as Coal Exploration [Regulations 2.02.2(3) and 1.04(22)] <br />The activities described in the Notice of Intent qualify as "coal exploration" as defined at Regulation <br />1.04(22). The coal exploration activities described will involve removal of 250 tons or less of coal. <br />Determination of Substantial Natural Land Surface Disturbance [Regulations 2.02.2(3) and <br />1.04(127)] <br />The coal exploration activities described will substantially disturb the natural land surface, as defined <br />at Regulation 1.04(27). <br />Determination of Amount of Performance Bond [Regulation 3.05.2(1)] <br />The Division has prepared a preliminary estimate of the amount of performance bond sufficient to <br />assure the satisfactory reclamation of the proposed coal exploration disturbance if, in the event of bond <br />forfeiture, the work had to be performed by the Division through independent contractors. The amount <br />of performance bond calculated was $43,733.00. <br />Although the Division has found the above referenced NOI application complete, approval of the NOI <br />cannot be granted until such time that proof of the right of entry, which the applicant who will explore <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines