2011-03-18_PERMIT FILE - C1981044

• Permit No: C1981044
• IBM Index Class Name: Permit File
• Doc Date: 3/18/2011
• Section_Exhibit Name: Introduction
• Media Type: D
• Archive: No

INTRODUCTION
Moffat County Mining, LLC (MCM), or a predecessor company, submitted a permit revision to Permit No. C -81-
•044. The permit revision allowed mining of the "E" Coal Seam located directly under the "F" Coal Seam,
previously mined at this location. With that application, MCM prepared a detailed Mining and Reclamation Plan to
effect compliance with the Coal Regulations of the Colorado Mine Land Reclamation Board, and in addition, has
reorganized and updated all applicable information in its presently approved permit.
MCM plans to utilize longwall mining as its primary mining method. However, the standard room - and - pillar
mining method will be utilized for development of the longwall panels, and if needed, to supplement coal
production. The name of the MCM operation will be "Williams Fork Mines ". In this Permit document, where the
mine owner /permitee is abbreviated as "EC ", this designation is superseded by the MCM designation. Similarly,
where the mine name is identified as "Eagle 5 & 9 Mines ", this designation is superseded by the Williams Fork
Mines designation.
Background of Williams Fork Mines Ownership
The Williams Fork Mines are owned by Moffat County Mining, LLC, a Delaware Corporation with Articles of
Incorporation on file with the Secretary of State of Delaware. The principal shareholder of Moffat County Mining,
LLC is the Peabody Investments Corporation, located in St. Louis, Missouri. The Williams Fork Mines were
previously known as the Eagle Mines, and were acquired from RAG American Coal Holding on April 16, 2004.
The operator name was changed to Moffat County Mining, LLC, from the previous name of BTU Empire
Company, LLC in early 2011.
A brief summary of the history of ownership shows that CEC (Cyprus Empire Corporation) operated the Empire
Eagle Mines beginning in 1972 as a subsidiary of Ziegler Coal Co. Cyprus Coal Company later acquired the
Empire Eagle Mines from Ziegler Coal Company in 1982, and began operating under an approved Colorado Mine
•Land Reclamation Board permit from August 1983 through August 1995. RAG American Coal Holding then
acquired the mine (RAG EC) from Cyprus in 1999.
Geographical Setting
The MCM site lies approximately seven miles south of Craig, Colorado on State Highway 13. The mine site, and
adjacent area lie at the foot of the prominent Williams Fork Mountains, which trend east to west immediately to the
South. The general geographical location of the EC operation is shown on Figure 1, General Location Map. The
elevation of the permit area ranges from a low of approximately 6,130 feet in the Big Bottom area, to a high of
about 7,400 feet in the Williams Fork Mountains. The entire operation is located in Moffat County, Colorado.
Two major northwestern Colorado rivers intersect the permit area, these Yampa River and the Williams Fork River.
The Yampa River runs from north to south through the permit area, while the Williams Fork River runs from south
to north, and intersects the Yampa River just north of the mine facilities area. The northern portion of the permit
area is dominated by the Big Bottom alluvium, while the southern and eastern portions of the permit area are
dominated by the Williams Fork Mountains and the river beds of the Yampa and Williams Fork Rivers.
Brief History of Area
The MCM Mine Site is located in an area which has been previously mined by surface and underground mining.
The earliest records of mining show that underground mining began in the area in the late 1920's and early 1930's.
Surface strip mining began on this site and adjacent areas around 1975.
The major historic mines which have operated in this area include the Wise Hill Mines (1, 2, 3, and 4); the
Williams Fork Strip Mines (1, 2, and 3), and the Trapper Strip Mine. The Trapper Strip Mine began operations in
1976 and operations have continued through the present.
MR 10 -49 -1- 02/01/11