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Peak Project Management, LLC <br />34115 County Road 20.8 Trinidad, CO 81082 <br />Telephone: (719) 846-4975 Fax: (719) 846-4930 Cell: (719) 859-0111 <br />roonthompsonOwildblue.net <br />November 24, 2008 <br />Mr. Kent Gorham <br />Division of Reclamation, Mining and Safety ? <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 cti a?or, <br />Re: New Elk Mine oca <br />Permit No. 81-012 <br />Adequacy Response <br />Dear Mr. Gorham: <br />New Elk Coal Company has completed a preliminary review of the items addressed in the <br />Division's adequacy review for renewal of the New Elk mining permit. The following <br />provides a discussion of these issues. As will be noted, several issues will be addressed by <br />future correspondence. <br />1. The New Elk NPDES permit has been renewed, effective December 1, 2008. Copies of <br />the new permit are enclosed. This should replace the previous NPDES permit in Exhibit 22. <br />2. New Elk Coal Company will review and respond to possible changes in the planned post- <br />mining land use of the railroad right-of-way. An update to Exhibit 35 will be provided to the <br />Division as soon as possible. <br />3. The status of the Upland Wildlife Reference Area, located within the Golden Eagle mine <br />permit boundary, is under discussion with the Division of Wildlife. <br />4. Pages 2.05-1 through 2.05-4 have been revised to address the current status of the New <br />Elk Mine. This includes a discussion of work and surface facilities needed to completed the <br />re-entry and rehabilitation of the New Elk Mine. <br />The new facilities consist of the re-installation of the East and West Portal Fans, the East <br />Portal Hoist, and the Apache Canyon airshafts. These facilities were previously dismantled, <br />but were never Phase I bond released. Therefore, bonding should still be in place for these