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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 />July 28, 2008 <br />Murari P. Shrestha <br />Western Fuels Association Inc. <br />1100 W. 116` Ave. <br />Westminster, CO 80234 <br />RE: Western Fuels - Colorado, LLC <br />Notice of Intent to Explore (NOI) <br />File No. X-2008-142-12 <br />Dear Mr. Shrtstha, <br />STATE OF COLORADO <br />COLORADO <br />DIVISION 01 <br />RECLAMATION <br />MINING <br />—&— <br />SAFETY <br />Bill Ritter jr <br />Governor <br />Harris D Sherman <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Natural Resource Trustee <br />the Division has reviewed the above - referenced NOI in accordance with the applicable provisions of' <br />the Colorado Surface Coal Mining Act ( "Act ") and the Regulations of the Colorado Mined Land <br />Reclamation Board for Coal Mining ( "Regulations), and has the following comments_ <br />Notification of Completeness [Regulation 2.02.2) <br />Notice of Intent No. X- 2008 - 142 -12 is Complete <br />Determination of Proposed Activities as Coal Exploration [Regulations 2.02.2(3) and 1.04(22)) <br />The activities described in the Notice of Intent qualify as "coal exploration" as defined at Regulation <br />1.04(22). The coal exploration activities described will involve removal of 250 tons or less of coal. <br />Determination of Substantial Natural Land Surface Disturbance [Regulations 2.02.2(3) and <br />1.04(121)] <br />The coal exploration activities described will substantially disturb the natural land surface, as defined <br />at Regulation 1.04(27). <br />Determination of Amount of Performance Bond [Regulation 3.05.2(1)) <br />the Division has prepared a preliminary estimate of the amount of performance bond sufficient to <br />assure the satisfactory reclamation of the proposed coal exploration disturbance if; in the event of bond <br />forfeiture, the work had to be performed by the Division through independent contractors the amount <br />of performance bond calculated was $6,063.00 <br />Although the Division has found the above referenced NOI application complete, approval of the NOI <br />cannot be granted until such time that proof of a statement from the Colorado Division of Wildlife <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />