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1993-02-25_GENERAL DOCUMENTS - C1981017
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1993-02-25_GENERAL DOCUMENTS - C1981017
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Last modified
1/26/2021 9:04:43 AM
Creation date
5/1/2012 9:46:22 AM
Metadata
Fields
Template:
DRMS Permit Index
Permit No
C1981017
IBM Index Class Name
GENERAL DOCUMENTS
Doc Date
2/25/1993
Doc Name
2nd motion for authorization to use cash collateral
From
US District Court
To
Mid-Continent Resources, Inc.
Permit Index Doc Type
General Correspondence
Media Type
D
Archive
No
Tags
DRMS Re-OCR
Description:
Signifies Re-OCR Process Performed
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10 . In addition, Resources has an immediate need to <br /> use cash collateral for expenses related to reclamation and <br /> environmental clean-up. These needs are discussed in Exhibit B <br /> attached hereto and include ( i) removal of underground storage <br /> tanks ; (ii ) removal of PCB contaminated transformers ; ( iii ) <br /> regrading of the raw coal storage area; ( iv) covering and <br /> regrading the Sutey Pile; (v) removal of on-site chemicals ; (vi ) <br /> removal of waste oil; (vii) portal sealing; (viii) road and mine <br /> pad reclamation; ( ix ) maintenance of equipment for those <br /> purposes ; (x) grass seeding, and (xi) other general reclamation <br /> work. <br /> 11 . Removal of PCB contaminated transformers is <br /> estimated to cost approximately $50 , 000, based on cost estimates <br /> made by various contractors , which are set forth on Exhibit C <br /> attached hereto. Cost estimates for the other activities <br /> described in Paragraph 10 above are not yet available. For now, <br /> Resources requests a total of $300, 000 of cash collateral <br /> authorization for the activities described in Paragraph 10 , which <br /> Resources anticipates would be spent during the Summer of 1993 . <br /> 12 . Reclamation expenses are secured by a senior lien <br /> on a rockdust plant owned by Resources . The plant has not been <br /> sold, and it is unlikely that a sale will be consummated this <br /> year. Pending agreement on a plan that addresses all <br /> distribution issues, Resources proposes to spend proceeds of <br /> equipment and real property sales on the above-described <br /> reclamation activity, in an amount not to exceed $300 , 000, to be <br /> reimbursed from the eventual sales proceeds of the rockdust <br /> plant. Resources anticipates that the Chapter 11 plan to be <br /> filed in June may include additional funding sources for <br /> reclamation activity that will suaersede this interim <br /> reimbursement measure. <br /> 13 . The expenditures outlined in Paracraph 9 total <br /> $129 , 984 . 86 , and the expenditures outlined in Paragraphs 10 and <br /> 11 total $300, 000 . The total cash collateral authorization <br /> sought by the Debtor in this Second Motion thus is $429 , 984 . 86 . <br /> IV. Authorization to Use Cash Collateral <br /> 14 . Pursuant to Section 363 (c) (2 ) of the Bankruptcy <br /> Code, the Debtor may not use cash collateral without either (i) <br /> consent of the entities having an interest in the cash <br /> collateral, or (ii) Court authorization, which is premised on the <br /> adequate protection of any non-consenting entities having an <br /> interest in cash collateral. <br /> -5- <br />
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