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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 />INTEROFFICE <br />MEMORANDUM <br />TO: Joe Dudash <br />FROM: Jim Star <br />SUBJECT: Bowie No. 2 Mine's MR-106 Cost Estimate <br />DATE: 1 June 2009 <br />COLORADO <br />DIVISION 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 />Attached is the reclamation cost estimate for the Bowie No. 2 Mine's Minor Revision <br />106 - four gob vent boreholes and an additional road spur. The estimate is five tasks (a <br />summary sheet and tasks 341-344) and represents an increase in liability of $34,971.00. <br />This estimate is $7,214.00 more than the estimate provided by BRL. <br />The Division's estimate is more than the estimate provided by BRL for several reasons. <br />First, the Division assumed that sealing each borehole (1,637 foot average depth) would <br />require 12 hours of drill rig time versus the 8 hours per hole estimated by BRL. Second, <br />the hourly cost for the drill rig was more in the Division's estimate ($191.60/hour vs. <br />$162.70/hour). Third, the Division's costs to regarded and replace topsoil to the light-use <br />road spur to drill pad 177 was more expensive due to higher Division equipment costs <br />($207.53/hour vs. $90.00/hour). <br />There was no change to the estimate for changing the location of drill pad 177. None of <br />the dimensions or slopes of the drill pad have changed, only its location. <br />Please let me know if you have any questions or need any additional information. <br />cc: Sandy Brown w/out attachments <br />Office of Office of <br />Mined Land Reclamation Denver 9 Grand Junction 9 Duraneo Artivw and InartivP MinPC