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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 />August 12, 2011 <br />Scott Wanstedt <br />Blue Mountain Energy, Inc <br />3607 County Road 65 <br />Rangely, CO 81648 <br />Re: Deserado Mine (Permit No. C- 1981 -018) <br />Minor Revision No. 148 (MR -148) <br />Addition of Return Shaft RS-6, 1 Methane Degas Well and 1 Nitrogen Injection Well <br />Dear Mr. Wanstedt: <br />We have received your minor revision application to revise your permit to conduct coal mining in <br />Colorado. Our initial review indicates that all preliminary items required by the Colorado Surface Coal <br />Mining Reclamation Act, Section 34 -33 -101 et seq., C.R.S., have been submitted. Thus, your application <br />has been considered complete for the purposes of filing as of August 12, 2011. All review and comment <br />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 Minor Revision 148 for the Deserado <br />Mine. The Minor Revision is for the drilling of a new return shaft (Return Shaft 6), a methane degas <br />well (LWB12 -1A) and a nitrogen injection well (N9 -62). Based on the current proposal, there will be <br />additional disturbed lands and there will be an increase in the Deserado Mine's reclamation liability as <br />a result of this revision. <br />The Division is currently reviewing your revision application to determine whether the items you have <br />submitted are adequate in terms of meeting the requirements of the Act and Regulations. The Division <br />will either issue a decision or inform you of adequacy issues regarding the application on or before August <br />22, 2011. <br />If you have any questions, please contact me. <br />Sincerely, <br />James R Star <br />Environmental Protection Specialist <br />cc: Foster Kirby, Office of Surface Mining <br />Office of <br />Mined Land Reclamation <br />STATE OF COLORADO <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />— &— <br />SAFETY <br />John W. Hickenlooper <br />Govemor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />