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PEABODY SAGE CREEK MINING LLC <br />• March 31, 2011 <br />Colorado State Land Board <br />Northwest District Office <br />555 Breeze St. <br />P.O. Box 1094 <br />Craig, CO 81626 <br />To Whom It May Concern; <br />Peabody Sage Creek Mining LLC, 36600 CR 27, Hayden, CO 81639, (CDMG Permit No. C-2009-087,1 <br />approved June 8, 2010) is requesting release of Phase II bond liability on 462.4 acres of its reclaimed lands <br />(originally Seneca Il Mine area) at the Peabody Sage Creek Mine. A surety bond in the amount of $5,959,990 <br />is currently in place and $966,743 is being requested for release. Those portions of the permit area for which <br />Phase II bond release is requested were revegetated from the beginning of mining through 2005 in accordance <br />with the Colorado Division of Reclamation, Mining and Safety (CDRMS) rules and regulations. <br />The Peabody Sage Creek Mine is located approximately nine (9) miles southeast of Hayden, Colorado. ;The <br />specific area to which this bond release request applies is included in portions of the following sections located <br />within the permit area: <br />T5N, R87W <br />Section 1: All <br />• Section 2: All <br />Section 11: NE'/a, M/2NW %, SE'%NW %, and NE1/ SE'/ and Portions of SE'/ SE'/, 1 <br />and NW1/SE'/ <br />Section 12: All <br />Section 13: N1/2N1/2N1/z <br />T6N, R87W <br />Section 35: W'/2, Wl/zE%z, and Portions of SE%NE'/, and E%2SE'/ <br />Section 36: Portions of S1/2S1/2 <br />All west of the 6 h Principal Meridian <br />The US GS 7.5 Minute Quadrangle Maps for Milner and Mt. Harris contain the described affected area. A copy <br />of the bond release application is available for public inspection at the Hayden Public Library, 201 E. Jefferson <br />Avenue, Hayden, Colorado 81639. Written comments or objections or requests for public hearing or informal <br />conference concerning this application may be submitted to, and additional information obtained from, !the <br />Colorado Division of Reclamation, Mining and Safety, 1313 Sherman Street, Room 215, Denver, Colorado <br />80203-2273, (303) 866-3567. Comments must be received within 30 days of the last publication of this notice <br />or within 30 days of the onsite inspection, whichever is later. Published on (four consecutive weeks). <br />Sinc el <br />Mike Ludlow <br />Project Manager <br />Peabody Sage Creek Mine <br />• 36600 CR 27 <br />Hayden, CO 81639 <br />Peabody Sage Creek Mine • 36600 CR 27 • Hayden, Colorado 81639 <br />Telephone (970) 276-7001