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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 />February 28, 2011 <br />Paul Daggett <br />U.S. Bureau of Land Management <br />White River Field Office <br />220 Market St. <br />Meeker, CO 81641-3419 <br />Re: Deserado Mine (Permit No. C-1981-018) <br />Technical Revision Application No. 68 (TR-68) <br />B Seam Dewatering System <br />Dear Mr. Daggett: <br />COLORADO <br />D I V1 S I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />The Division of Reclamation, Mining and Safety hereby issues notice, in accordance with Title 34, Article 33, Section 116, <br />Paragraph 4, of the Colorado Revised Statutes, that on February 25, 2011, an application to revise coal mining operations at the <br />Deserado Mine was considered complete for the purposes of filing. The revision was submitted by Blue Mountain Energy, Inc. <br />All review and comment periods as provided in the Act and the Regulations initiate from this date of filing. <br />Blue Mountain Energy, Inc. has submitted an application for Technical Revision 68 for the Deserado Mine. The Technical <br />Revision is for the installation of a dewatering system for the B-Seam workings. The proposal includes pumping water to the <br />surface through an existing service hole, allowing the water to pass through a series of treatment ponds and discharging the <br />water into a natural drainage. The proposed dewatering system is along the mine's access road to the train loadout. This <br />revision includes an additional 3.47 acres of disturbed and affected land. There will be an increase in the Deserado Mine's <br />reclamation liability as a result of this revision. <br />The underground coal mining operation is on land located approximately 7 miles Northeast of Rangely, Colorado. The permit <br />area is further described as follows: <br />Portions of Sections 1, 2, 3, 4, 10, 11, and 12, T2N, R10 1W, 6th PM, all in Rio Blanco County; Portions of Sections 21, 23, <br />25, 26, 27, 28, 30, 31, 34, 35, and 36, T3N, R101W, 6th PM; All of Sections 22, 29, 32, and 33, T3N, R101W, 6th PM, all in <br />Rio Blanco County. <br />The above-mentioned tracts of land are shown on USGS 7.5 minute Quadrangle map of Rangely NE and Cactus Reservoir. <br />The applicant is required to publish notice in a local newspaper that this application has been deemed complete. At the time of <br />publication of this notice, the applicant is additionally required to place a copy of this application at the Rio Blanco County <br />Clerk and Recorder, 500 Main Street, Meeker, CO 81641, and at the Division office. For additional information or to provide <br />written comments, contact the Division of Reclamation, Mining and Safety, Room 215, 1313 Sherman Street, Denver, <br />Colorado 80203, (303) 866-3567. In order for us to comply with regulatory time frames, we request that comments be <br />submitted within fifteen (15) days of this letter. If no comments are received by then, we will proceed on the assumption that <br />you have no concerns with, or objections to, the applicant's proposal. <br />Sincerely, <br />James R. Stark <br />Environmental Protection Specialist <br />C-TR-03_C1981018_JRS_02282011083952.doc <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines