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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 />February 17, 2009 <br />Ronald G. Thompson <br />Peak Project Management <br />34115 County Road 20.8 <br />Trinidad, CO 81082 <br />Re: Permit Renewal No. 5 (RN-05) <br />New Elk Mine (Permit No. C-81-012) <br />New Elk Coal Company, LLC. <br />Dear Mr. Thompson: <br />COLORADO <br />D I V I S ION OF <br />RECLAMATION <br />MINING <br />SAFETY <br />Bill Ritter, Jr. <br />Governor <br />Harris D. Sherman <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Natural Resource Trustee <br />The Division is currently reviewing the Permit Renewal No. 5 (RN-05) for the New Elk mine <br />as well as Technical Revision No. 50 (TR-50). As we discussed with you, the plan regarding <br />permitting actions was to proceed with the permit renewal and approve it, then review and <br />approve TR-50 regarding the incidental permit boundary change. <br />Your correspondence of January 22, 2009 lists the revised permit pages to be reviewed and <br />approved as part of Permit Renewal No. 5 (RN-05). Please be advised that the operation <br />plan and re-entry information was submitted under the life of mine portion of the approved <br />permit. No mining activities are currently approved under the operations plan for the permit <br />area nor will any mining activities be approved within the current permit area as a result of <br />the renewal process. Any resumption of mining will require a Permit Revision to be reviewed <br />and approved by the Division. This includes re-opening of the West Portal ventilation shaft <br />and the trolley slope. Currently, approved permit page 2.05-8 states "no operations at the <br />West Portal..." Additionally, it is likely an access road will need to be permitted to this area <br />rather than the existing light use road. Please carefully review all approved permit <br />application language and the Coal Rules as New Elk Coal Company plans future operations <br />at the site. <br />As mentioned in a previous letter, please let the Division know the disposition of Map 11. <br />If you have any questions, please contact me. <br />Sinc rely, <br />Ke t A. Gorham <br />Environmental Protection Specialist III <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines