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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 />September 16, 2011 <br />Wells Fargo Bank West, N.A. <br />Chuck Vincent <br />Po Box 120 <br />Delta, CO 81416 -0120 <br />Re: Bear No. 3 Mine (Permit No. C- 1981 -033) <br />Surety Increase No. 1 (SI -1) <br />Bond No. <br />Dear Sir or Madam: <br />This letter, as required by Rule 3.02.2(4) of the Rules and Regulations, is to inform you that the <br />Division of Reclamation, Mining and Safety has issued a proposed decision to Approve Surety Increase <br />No. 1 (SI -1) for the Bear No. 3 Mine. This decision will be published in the Delta County Independent <br />as soon as possible. Publication of the notice initiates a thirty (30) day public comment period. If, <br />within thirty days, there are no requests for an adjudicatory hearing, the decision will become final. <br />The bond for the operation is a Certificate Of Deposit issued by your company (Bond No. <br /> , in the amount of $100,000.00. The proposed surety increase amount is $16,226.66. <br />Please be aware that this notification is not a request to initiate any action by Wells Fargo Bank West, <br />N.A. concerning Bond No. and is for your information only. Should Bear Coal <br />Company, Inc. chose to take action with regard to this bond release, they will contact you. <br />If you have questions or need additional information, please contact me. <br />Sincerely, <br />seph J. udash <br />Environmental Protection Specialist <br />cc: <br />c: /word2007 /bear3 /SI1 bondlet2 <br />Office of • <br />Mined Land Reclamation <br />Alysha Hernandez, CDRMS <br />STATE OF COLORADO <br />C <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />— &— <br />SAFETY <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />