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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 />Office of <br />Mined Land Reclamation <br />25 October 2011 <br />Mr. Jerry Nettleton <br />Moffat County Mining, LLC <br />29515 RCR 27 <br />Oak Creek, CO 80467 <br />Re: Williams Fork Mines C- 1981 -044 <br />2011 Midterm Review (MT -06) <br />Dear Mr. Nettleton: <br />STATE OF COLORADO <br />Loretta E. Pineda <br />Director <br />On 28 June 2011 the Colorado Division of Reclamation, Mining and Safety (Division) <br />sent Moffat County Mining, LLC (MCM) a copy of the 2011 Midterm Review for the <br />Williams Fork Mines (attached). The midterm included 30 questions that required <br />MCM's attention. In the midterm, the Division required responses to the questions, in <br />the form of a revision, no later than 31 August 2011. MCM did request and was granted <br />an extension of the due date for the midterm responses to 30 September 2011. On 30 <br />September 2011 the Division received a short letter, via e -mail, that contained brief <br />responses to the Division's midterm questions but no revision. Many of the responses <br />included the statement "...(c)opies of the revised permit discussion (or maps, tables, etc.) <br />accompany these responses for replacement in the PAP... ". As of this date, the Division <br />has not received the requested revision or revised permit materials. <br />The Division is concerned with the lack of either mining or reclamation at the site, as <br />detailed specifically in midterm questions 1, 2, 12, 15 and 28. As the Division stated in <br />the midterm, the site has been idle since 1995. Leaving the site in temporary cessation <br />for this extended period of time does not represent contemporaneous reclamation as <br />required by Rule 4.13 and does not meet the intent of the Colorado Surface Coal Mining <br />Act. It is the Division's position that MCM must either commit to the resumption of <br />operations and mining, through the submittal of a Permit Revision with an updated mine <br />plan and schedule, or begin reclaiming the site in earnest, through the submittal of a <br />Permit Revision with an updated reclamation plan and schedule for completion. <br />Additionally, in midterm questions 25 -27, the Division found that the bond liability at the <br />Williams Fork Mines was less than the amount required to complete reclamation pursuant <br />to Rule 3.02.2(1). The Division calculated a bond deficiency of $38,292.00. The <br />Division will initiate a Surety Increase pursuant to Rule 3.02.2(4) which will require <br />MCM to submit a bond rider for this amount (the total liability for the Williams Fork <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />— &— <br />SAF ETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Office of <br />Denver • Grand )unction • Durango Active and Inactive Mines <br />