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Peabody <br />0 <br />Sage Creek Coal Company <br />29515 Routt County Road #27 <br />Oak Creek, CO 80467 <br />970.879.3800 <br />0 <br />• <br />April 23, 2009 <br />Mr. Jason Musick <br />Colorado Division of Reclamation, Mining, and Safety <br />1313 Sherman Street, Room 215 <br />Denver, Colorado 80203 <br />(303) 866-3567 X8134 <br />RE: Sage Creek Holdings, LLC. Notice of Intent to Explore (NOI). File No. X-2009-231-00, AM-1 <br />Adequacy Response <br />Dear Mr. Musick: <br />Sage Creek has reviewed DRMS comments regarding the amendment for geotechnical investigations, as a part of <br />the approved Sage Creek 2009 exploration activities, and has prepared the following responses: <br />1) On page 8, the last sentence of paragraph 6 is not entirely clear and may need to be re-worded. The sentence <br />states "Geotechnical work will be completed outside the nesting season (July IS" to October 3IS`), away from <br />lek and nesting sites (refer to Wildlife Map), and areas not identified as grouse habitat (adjacent to CCU026 - <br />a site with no timing restrictions) ". It would appear that the clause following the final comma should be <br />worded as: "and in areas that are not identified as grouse habitat... " <br />Response: The text has been modified as suggested. <br />2) The approved Rangeland Seed mixture for Seneca II does include mountain big sagebrush at a rate of 0.25 <br />pounds per acre PLS. Narrative in the first couple paragraphs of page 16 should state that mountain big <br />sagebrush at a rate of 0.25 pounds per acre PLS will be included in the Rangeland Seed mixture for all <br />disturbances within the Seneca H permit area. <br />Response: The suggested narrative has been included on page 16 of the supplemental information text. <br />Sage Creek also accepts the CDRMS bond reclamation cost estimate. Sage Creek understands that final approval <br />of this amendment cannot be granted until the DRMS receives a bond rider in the amount of $38,008.00. <br />This submittal includes revised text addressing the DRMS adequacy comments. We appreciate your consideration <br />and cooperation in facilitating timely review and approval of this revision application. After you have opportunity <br />to review the accompanying information, please feel free to contact me with any questions or to discuss submittal <br />materials or related matters. <br />Best regards, <br />Twentymile Coal Company <br />B. Scott Cowman <br />Environmental Specialist <br />cc: Jerry Nettleton/TCC <br />Jay James/CCR <br />P: \Jay James\Seneca II\MR-60\geotech_amend_noi_adequacy_tranamittal_letter_042309.doc