2010-06-24_REVISION - M2000158 (7)

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Mr. Jared Ebert June 22, 2010 Page 9 7 CIVIL RESOURCES 40) Please indicate which structures will be relocated during the mining operation. For each structure to be relocated the applicant must submit a copy of the agreement the applicant has with the owner of the structure giving them permission to relocated the structure. For example, there are numerous gas lines within the permit area. Exhibit C indicates the Operator will mine though and relocated existing gas lines, specifically in mining cell A, B, and C1. Also, there appears to be a tanklequipment located in cell C2 where mining will occur. Does the applicant have agreements with the owners of these gas lines and equipment to be relocated? If not, the Operator will need to obtain these agreements or update the mining and reclamation plan to leave these structures in place prior to the approval of the amendment. Or the applicant can commit to not affecting land within 200 feet of the structure until such an agreement was made. Structures not owned by Gilcrest Reservoir, LLC. are not proposed for removal or relocation other than utility- related improvements. Each utility will be moved by the respective owner(s) of these facilities, not by the applicant. The applicant is finalizing an agreement with Anadarko regarding the oil and gas lines and associated equipment. Xcel has also been contacted and has generally agreed to relocate facilities as requested to facilitate the proposed plan, but will not officially approve the changes until a Construction Application is received. These agreements will be forwarded under separate cover as the project moves forward. 41) The applicant submitted an agreement with the Western Mutual Ditch Company in the amendment application. The Division has on file an agreement between the applicant and Xcel energy for road crossings. However no other structure damage reimbursement agreements have been submitted to the Division. For the current mining plan, the operator has defined setbacks they were to maintain from the mine perimeter and structures. Please identify what structures are located on or within 200 feet of the new permit area. For these structures, the operator must.' a) Provide a notarized agreement between the applicant and the person(s) having an interest in the structure, that the applicant is to provide compensation for any damage to the structure; or b) Where such an agreement cannot be reached, the applicant shall provide an appropriate engineering evaluation that demonstrates that such structure shall not be damaged by activities occurring at the mining operation. c) Where such structure is a utility, the Applicant may supply a notarized letter, on utility letterhead, from the owner(s) of the utility that the mining and reclamation activities, as proposed will have 'no negative effect' on their utility. Please provide evidence (certified letter to structure owners) that a notarized agreement between the structure owners and the applicant was pursued. If these agreements cannot be reached, please submit engineering evaluations for the identified structures. Enclosed are reimbursement agreements with DCP Midstream (pipeline), Kerr-McGee (now known as Anadarko - oil and gas facilities), Western Mutual Ditch Company and Weld County (Weld County Roads 38, 36 and 23). Other Issues: 42) Enclosed with this review is correspondence from the Colorado Division of Water Resources, the Army Corp of Engineers, and the Office of Archaeology and Historic Preservation in regards to this amendment application. Please address their concems. Army Corps of Engineers As noted previously, we are working with ERO Resources Corporation to determine if there are any jurisdictional wetlands on the property that may be impacted by the construction of the proposed reservoirs/mining operation. If there are any jurisdictional wetlands that will be disturbed, the applicant commits to obtain an US Army Corps of Engineers 404 permit prior to disturbance.