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<br />GCC Energy, LLC
<br />GCC Post Office Box 2827
<br />Durango, CO 81302
<br />E n e r g y Telephone: 970.385.4528 4424 County Road 120
<br />"Safety as a Value" Facsimile: 970.385.4638 Hesperus, CO 81326
<br />change the previously described impacts to the surface of lands underlain by the workings. As conveyed
<br />to Mr. Dan Hernandez in a meeting July 25, 2008, GCC contends that all mining (including the location
<br />of the NOV) has been located and approved within both the permit area and the affected area depicted in
<br />the permit document. GCC is also under the understanding that, by the Division approving the King Coal
<br />Mine permit area, affected area, inventory of structures and renewable resource lands, assessment of the
<br />worst possible consequences of subsidence, subsidence monitoring plan, and subsidence mitigation plan;
<br />mining within the above areas is permitted without further specific approvals by the Division.
<br />B. Rule 2.07.7(8) states, "The permittee shall comply with the terms and conditions of the permit, all
<br />applicable performance standards of the Act, and the requirements of these Rules."
<br />GCC contends that there was compliance with the terms and conditions of the permit, applicable
<br />performance standards, and Rule requirements as discussed throughout this request.
<br />5. The nature of the violation in the NOV states, "Failure to conduct surface coal mining and reclamation
<br />operations as described in the approved application. Failure to have maps or plans in the approved
<br />application that clearly and accurately show the land to be affected and the areal extent of the
<br />underground workings".
<br />GCC contends that the information in the approved permit document in Sections 2.03.8, where the
<br />acreage of surface lands potentially affected is presented, Section 2.04.6, where the nature of the geology
<br />above the coal seam and the potential for subsidence is discussed, Section 2.05.6 that contains the
<br />inventory of structures and renewable resource lands within the affected area, a discussion of the worst
<br />possible consequences of subsidence, the subsidence monitoring program, Section 2.05.3 where the mine
<br />plan is presented, and Maps C-3 and C-15 that depict the permit area, the potential affected area and
<br />subsidence monitoring.
<br />Based on discussions with Division staff and managers, the central issue of the NOV is whether, by
<br />mining in the area cited in the NOV, there is the potential for surface effects from subsidence that have
<br />not been assessed by the Division. It is GCC's representation that, by designating the permit and affected
<br />areas, as was done initially, by identifying all overlying structures and renewable resource lands within
<br />the entire permit and affected area, by preparing a worst possible consequences of subsidence evaluation
<br />for the entire permit and affected area, and developing a monitoring and mitigation plan that encompasses
<br />all of the permit and affected area, the King Coal Mine has addressed the central issue. It has always been
<br />GCC's understanding that by reviewing and approving the information, assessments, and plans for the
<br />entire permit and affected area, the Division agreed with operations as proposed within the entire permit
<br />and affected area. With an approval for the entire operation, GCC did not believe modifications to the
<br />everyday operation, including those of slight relocations of sub-mains, panels, or other underground
<br />features, required revision to the permit.
<br />In conclusion, GCC believes that we have presented sufficient evidence and convincing arguments that
<br />CV-2008-002 was issued in error and GCC was not in violation of the cited Rules, statute, or permit.
<br />GCC Energy, LLC Page 3
<br />Request for Vacation: Notice of Violation CV-2008-002
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