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Land and Coal Ownership <br />The ownership of the surface land for which bond release has been requested is private and <br />State. Ownership of the coal that was mined from the bond release area was Federal and <br />State. <br />Dollar Amount of Bond Release Request <br />The Division currently holds a reclamation bond in the amount of $20,606,900.00 from <br />Trapper Mining, Inc. Trapper Mining, Inc. proposes a reduction of $40,050.00 in the amount <br />of bond obligation as a result of SL-10. Trapper Mining, Inc. does not intend to request a <br />new bond rider to actually release the dollars under consideration, but would leave the money <br />in the surety bond as a buffer against future bond obligations. <br />II. SUMMARY OF THE BOND RELEASE PROCESS <br />Reclamation History of Bond Release Area <br />The Division approved a full release of reclamation liability for the Craig Generation Plant <br />Loadout in December 1985. That approval was for release of reclamation liability only. No <br />money was returned. <br />Bond release application SL-O1 was submitted September 9, 1996. Bond release SL-O1 <br />requested Phase I bond release on 2511.7 acres, and Phase II bond release on 1570.5 acres. The <br />Division approved the Phase I on February 12, 1998 for backfilling and grading of 2511.7 acres <br />of the bond release parcel. The Phase II portion of the bond release application was reviewed <br />separately from the Phase I request. The Division approved the Phase II bond release for 1548 <br />acres, on December 14, 1998. The two approvals released reclamation liability only. No <br />money was returned to the operator. <br />Bond release application SL-02 was submitted October 6, 1999. Bond release SL-02 requested <br />Phase II bond release on 319.5 acres of rangeland seeded in 1984, 1993, 1994, 1995 and 1996 <br />in the Ashmore, Derringer and Hawken pits. SL-02 was approved December 23, 1999. The <br />approval released reclamation liability only. No money was returned to the operator. <br />TMI submitted an application for a Phase II bond release, SL-03, that was received by the <br />Division on October 1, 2001. The approved post-mining land use is cropland. During the <br />review process, a neighboring landowner, Mr. Francis Lux, voiced concern regarding <br />diminution of flow from a natural spring, the Lippard No. 2 Spring, located downslope from the <br />Phase II application area. The Division required TMI to demonstrate that the Lippard Spring <br />No. 2 was not impacted by mining activities. TMI provided geologic cross-sections and detail <br />regarding the hydrologic stratigraphy. Upon review of TMI's information, the Division <br />determined that the diminution of flow of the Lippard Spring No. 2 is not a result of mining <br />impacts. Two aquicludes in the stratigraphic sequence act as hydraulic barriers between the pits <br />Trapper Mine Page 3 November 17, 2007 <br />Phase III Bond Release