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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 C O L O R A D O <br /> <br />Phone: (303) 866-3567 D IV IS I ON OF <br />RECLAMATION <br />FAX: (303) 832-8106 MINING <br />December 6, 2010 SAFETY <br /> <br />Mr. William A. Bear Bill Ritter, Jr. <br />Governor <br />Bowie Resources LLC <br /> <br />P.O. Box 1488 Mike King <br />Executive Director <br />Paonia, Colorado 81428 <br /> Loretta E. Pirieda <br /> Director <br />RE: " Bowie No. 1 Mine, Permit No. C-1981-038, Bowie Resources LLC <br />MT-6, 2010 Midterm Permit Review, Reclamation Cost Estimate <br />Dear Mr. Bear: <br />The Colorado Division of Reclamation, Mining and Safety (Division) has finished its review of the reclamation <br />cost estimate for the 2010 Midterm Permit Review for the Bowie No. 1 Mine. Enclosed is one copy of that cost <br />estimate. <br />The estimate is comprised of 100 tasks (a three page summary sheet and tasks 001 through 212, not consecutive) <br />and represents a new liability of $4,213,691.00. Based on the Bowie No. 1 Mine bond releases, however, the <br />Division must retain an additional $501,479.00. This makes the required liability at the site to be $4,715,170.00. <br />The Division currently holds a bond in the form of three corporate sureties in the amount of $5,761,290.00. The <br />Bowie No. 1 Mine does not need to submit any additional bond at this time. <br />Please review the reclamation cost estimate and inform the Division in writing whether or not the cost estimate <br />is acceptable to Bowie Resources LLC. <br />If you have any questions, please call me. <br />Sincerely, <br />I <br />Joseph. D1Wash <br />Environmental Protection Specialist <br />Enclosures <br />cc: Jim Stover P.E. (J.E. Stover & Associates) with enclosures <br />c: \word2007\bowie 1 \2010midtermbond 1 <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines