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Keenesburg Mine, C 1981-028: TR40 2 May 22, 2009 <br />Spoil volumes Remaining in LTSA <br />B&'i Periodic ash <br />stabilization BCY Needed to cover Pit B <br />BCY Spoil deficit BCY <br />AEC 265,372 105,822 323,470 59,098 <br />DRMS 265,372 114,318.4 331,966.4 66,594 <br />1) 2008 ARR <br />2) 9,688 cy x 11.8 yr. Formula presented by AEC. <br />CEC is proposing to take additional spoil at the LTSA, thereby lowering the post-mining topography by 0.88 feet <br />(10.56"). This would result in an additional 72122.4 cubic yards of spoil to use on the Pit B reclamation <br />(0.88 ft. X 50.8 acres). Adding this additional spoil volume to the currently inventoried spoil volume will result <br />in 337,494.4 cubic yards of spoil (72, 122.4 + 265,372) for Pit B reclamation, resulting in an excess of 14,024.5 <br />bcy. AEC's letter totals the available spoil volume (after anticipated approval of TR40) at 367,400 bcy with an <br />anticipated excess of 43,930 bcy. <br />The Midterm Review No. 5, conducted by the Division May 1, 2009 updated the reclamation costs. DRMS <br />used the spoil volume reported in the Keenesburg Mine 2008 Annual Reclamation Report (265,372 bcy) for <br />Pit B reclamation. Task 5A has been recalculated to reflect the total volume of 337,494.4 bcy spoil to be <br />used for Pit B reclamation. This is an overall difference from MT5 Task 5A of 66,594.4 cy. This updated <br />task estimate results in an increase of $16,637.00 to the required reclamation liability, for a total of <br />$2,189,590.00. The current bond held is $2,327,437.00, so no additional bond monies are needed. <br />Please verify spoil volume required for Pit B final reclamation, and total spoil volume that will be after <br />approval of TR40. If GEC's values differ from the Division's, please provide additional explanation of how <br />spoil volumes were determined. <br />Please call me if you have any questions regarding this review or the associated findings. <br />Y, <br />:. Binns <br />;ntal Protection Specialist II <br />3567 ext.8107 <br />C:\jhb\C81028\TR40\adequacy letter.doc