2010-12-29_REVISION - C1981033 (2)

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STATE OF COLORADO DIVISION OF RECLAMATION, MINING AND SAFETY Department of Natural Resources 1313 Sherman St., Room 215 C O L O O Denver, Colorado 80203 p o N Phone: (303) 866-3567 RECLAMATION FAX: (303) 832-8106 MINING SAFETY Bill Ritter, Jr. Governor Date: December 29, 2010 Mike King Executive Director To: Joe Dudash Loretta E. Pineda Director From: Susan Burgmaie%t RE: Bear No. 3 Mine, Permit No. C-1981-033, Bear Coal Company SL-4, Partial Phase One Bond Release, Reclamation Cost Estimate Per your request, I have reviewed the reclamation cost estimate for the Bear No. 3 Mine Phase I bond release. On December 2, 2009, I estimated the remaining reclamation costs to be $130,391.00. The unit costs used by the Division to estimate reclamation costs have not been updated since that estimate, so this review is limited to a review of the approved reclamation plan and the reclamation subject to the SL-4 application that has been completed to date. Since the December estimate, you informed me that the fence and gate at the site, originally approved for permanent retention, had been removed/reclaimed. Since the reclamation cost estimate did not include costs for removal of the permanent fence and gate, the estimate did not need to be revised. Based on my discussion with you earlier today and a review of revisions approved since my last estimate, there have been no other changes to the reclamation plan or release request that would require an update to the estimate. Accordingly, the estimate I provided to you previously remains accurate. The remaining liability at the site will be $130,391.00, and the amount to be released will be $148, 833.00. Please refer to my December 2, 2009 memo and cost estimate for a detailed account of the release amount and remaining liability. Let me know if you have questions or need additional information. cc: Sandy Brown Office of Office of Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines