2012-02-13_REVISION - C1981012 ‎(7)‎

• Permit No: C1981012
• IBM Index Class Name: REVISION
• Doc Date: 2/13/2012
• Doc Name: Letter, Application and Public Notice
• From: J.E. Stover & Associates, Inc
• To: DRMS
• Type & Sequence: PR4
• Email Name: JHB
• Media Type: D
• Archive: No

Project Name
New Elk Coal Company Coal lease
CPW Region Name
HP, RM, SE, NW, NE, SW, SE
Southeast
'
State Park Name or Wildlife Area Number
11 •
SWA, SHA, or SPU Name
For Wildlife projects, provide the name of the
associated SWA SHA, or SFU, or the closest one to
the project.
Bosque del Oso SWA
County or Counties
Las Animas County
Location
For example, 'Property is S mks east of Smithtown
on Hwy 00."
Property is approxianately2S miles west of Trinidad, CO
Project Description/ Purpose/ Rationale/
Recommendation
please state what general type of real estate
transaction is being requested, if known (e.g., lease
renewal, public access easement, oil & gas pipeline
easement, etc.). Explain why this project is
important in terms of such thin at CPW priorities
and strategies, species Of toner% recreation,
wildlife habitat, etc.
The Basque del Oso is a 29,940 ac. SWA under which the New Elk
Coal Company has a coal lease agreement (March 2008) on 15,552.8
acres. New Elk has requested CPW amend the contract to lease the
remaining 14,387.2 acres under the current lease agreement at 8%
royalty. New Elk has begun to corn mereiaity produce coal and reserve
analysix has determined that the company could begin extracting coal
under the new acreage as early as Fall 2012. This amendment would
allow the coal company to expand operations to the new . coal
Project History/
Materials Previously Provided to Real
'Estate unit
Summarize the proposed project's history, If any, if
any materials on this project have been given
previously to anyone In the Real Estate Unit, either
attach the materials or describe them and state to
whom and when they have been provided.
CDOW and. New Elk Coal Company negotiated a 20 lease
agreement in 4)08 on 15,552.8 acres of coal reserves under the SWA.
All coal processing Is off - site of the SWA and surface disturbances are
limited to two airshafts that may be built at the south end of the
SWA. TWo pre - existing ventilation shafts were refurbished during the
re opening of the mine. Mine safety conditions will dictate whether
additional ventilation shafts will be required but they are not
antldpated at this tine.
Term Length
if the requested real estate transaction is a lease, a
non- perpetual easement, er other transaction that is
not permanent, please state the proposed term
length, (e.g., ten-year lease .
The existing contract is fora term of 20 -years subject to automatic
. extensions for so long as coal is being produced in paying quantities.
This acreage amendment would run concurrent with the existing
contract.
Date of Expiration
If this is an extension of an existing lease or term
agreement, what is the date of expiration of the
existing document?
2027 but with automatic extensions as long as coal Is being produced
in paying quantities.
Federal Funding Status
if this project involves a use or sale of CPW arooerty.
SWA acquisition was with Game Cash. No federal funds were used,
•
.
please determine If federal funds were used to
acquire the property. In order to do tills, if the
project Involves former DOW property, please call
the Federal Aid Coordinator (x7244) to determine if
federal fends were used to purchase the property
02/07/2012 12:29 FAX [phone] 005002
!Z 002/004
SENT
Colorado Parks and Wildlife 12„6. 113019,
Real Estate Action Proposal
Please complete EVERY section. If not applicable, write N /A. If unknown, write unknown.
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