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Peabody <br />Twentymile Coal Company <br />July 6, 2009 <br />Mrs. Janet Binns, Environmental Protection Specialist <br />Colorado Division of Reclamation, Mining, and Safety <br />1313 Sherman Street, Room 215 <br />Denver, Colorado 80203 <br />(303) 866-4944 <br />29515 Routt County Road #27 <br />Oak Creek, CO 80467 <br />970.879.3800 <br />WMVED <br />JUL 0 8 LU09 <br />®ivisiou „ nation, <br />Mining and Safety <br />RE: Twentymile Coal Company, Foidel Creek Mine (C-82-056) - Technical Revision (TR09- <br />68) for Interim Phase III Development of the Western Mining District <br />Dear Mrs. Binns: <br />Twentymile Coal Company (TCC) respectfully requests CDRMS approval of a Technical Revision to <br />our existing approved Permit, to proceed with Interim Phase III development of mains, sub-mains, <br />cross-cuts, and bleeders for planned future longwall mining of the Western Mining District (WMD). <br />The planned development activities will be limited to underground continuous-miner development, and <br />will not require construction of any new surface facilities, involve longwall mining in the WMD, nor <br />result in any surface subsidence. <br />Preliminary mine development (Phase I) in the WMD (Panels 17 through 18 Left), was addressed in <br />the PR06-07 Permit Revision submittal (approved 01/02/07), with subsequent minor modifications to <br />adjust alignment and configuration consistent with geologic controls, under TR07-63 (approved <br />11/01/07). Phase II development activities, extending to, but not including, the un-leased (at the time) <br />Federal coal reserves in Sections 21 and 22, T5N, R87W, were approved (10/03/08) under TR07-64. <br />TCC has subsequently acquired the referenced Federal Coal Lease (Lease No. COC-72980), and has <br />submitted a Permit Revision (PR09-08) application addressing final Phase III development and <br />longwall mining for the remainder of the WMD, including the new Federal Coal Lease. <br />Recognizing normal processing timeframes for review and approval of a Permit Revision, and <br />projecting our ongoing development activities in the WMD, there is some concern that advancing <br />development may extend beyond the mine plan development limits under our existing approvals <br />(PR06-07, TR07-63, and TR07-64), prior to final approval of the pending Permit Revision (PR09-08). <br />This Technical Revision application, therefore, provides for the Interim Phase III development in the <br />WMD necessary to assure consistency between ongoing development activities and the associated <br />mine plan approvals, and compliance under our approved permit. Approval of the Interim Phase III <br />development will allow TCC to maintain full coal production and employment, meet existing coal <br />sales commitments, and develop the WMD reserves on a schedule that will provide for a smooth <br />transition as production in the Northern Mining District (NMD) is completed and the mineable NMD <br />reserves are depleted.