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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 />June 25, 2010 <br />Roy Karo <br />Seneca Coal Company, LLC <br />37796 Routt County Road 53 <br />P.O. BOX 670 <br />Hayden, CO 81639 <br />Re: Seneca II-W Mine (Permit No. C-1982-057) <br />Bond Release Application No. 2 (SL-2) <br />Dear Mr. Karo: <br />COLORADO <br />D I V I S ION OF <br />RECLAMATION <br />MINING <br />SAFETY <br />Bill Ritter, Jr. <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />In accordance with Rule 3.03.2(5)(b) of the Rules and Regulations of the Colorado Mined Land <br />Reclamation Board for Coal Mining (Rules), you are hereby notified that the Division's decision to <br />Approve Bond Release Application No. 2 for the Seneca II-W Mine became final on June 25, 2010. <br />No requests for an adjudicatory hearing on our proposed decision were received. <br />Bond Release No. 2 reduces your reclamation liability by $2,038,488.00. The current liability is now <br />$9,078,860.00. If you choose to reduce or replace your existing bond, it must equal or exceed <br />$9,078,860.00. The Division suggests you provide a copy of this letter, the OSM concurrence letter <br />dated June 21, 2010, and the BLM concurrence memorandum dated June 11, 2010 to your bonding <br />company for written evidence for approval to reduce your bond. Please find these documents attached. <br />If you have questions or need additional information, please contact me. <br />Sincerely, <br />Daniel T. Mathews <br />Environmental Protection Specialist <br />DTM/Jrc <br />cc: Johanna R. Cramer, CDMG <br />Enclosure <br />C-SL-13 C1982057 DTM 06252010021543.doc <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines