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STATE, OF COLOMDO <br /> DIVISION OF MINERALS AND GEOLOGY <br /> Department of Natural Resources <br /> 1313 Sherman St.,Room 215 <br /> Denver,Colorado 80203 D IV IS I ON Of <br /> Phone:(303)866-3567 MINERALS <br /> FAX:(303)832-8106 & <br /> GEOLOGY <br /> RECLAMATION <br /> August 4, 2000 1 MINING-SAFETY <br /> Ms. Diane Delaney Bill Owens <br /> Mid-Continent Resources <br /> Governor <br /> P.O. Box 2115 Greg E.Walcher <br /> Executive Director <br /> Glenwood Springs, Colorado Michael B Long <br /> 81602 Division Director <br /> Dear Ms. Delaney: <br /> I wanted to take this opportunity to summarize and clarify the phone message I left for you at your <br /> office after hours the evening of August 2, 2000 regarding the 016 pond discharge system. As <br /> stated in the 1999 Settlement Agreement entered into by Resources, MidCon LLC and the <br /> Division of Minerals and Geology,this pond system is the responsibility of Mid-Continent <br /> Resources. As a matter of courtesy, we are making you aware of our observations and certain <br /> conditions at the 016 ponds which need the attention of Resources or MidCon LLC. <br /> I visited the Coal Basin Mine on August 2, 2000. During my visit I noticed that the upper two <br /> ponds of the 016 pond series were experiencing some problems. The principle spillway at each <br /> pond was completely submerged and, it is assumed, partially plugged. It is assumed that the <br /> principle spillways were partially plugged because only a small volume of water was discharging <br /> from the principle spillways, and the emergency spillway at each pond was discharging. It was <br /> noted that the emergency spillways were partially constricted by beaver dams. The beaver dam <br /> at the upper-most pond has, in the recent past, caused this pond to discharge over the <br /> embankment into the middle pond. This is evidenced by the presence of a gully on the face of <br /> the embankment between the upper and middle ponds. <br /> Please contact me at the address or phone number below if you have questions or comments. <br /> Sincerely, <br /> Steven . Renner <br /> Project Manager <br /> Colorado Division of Minerals and Geology <br /> 2148 Broadway, No. C-5 <br /> Grand Junction, Colorado 81503 <br /> 970-241-0336 <br /> cc: Michael Long <br /> Cheryl Linden <br /> C:\sgrlgenldelponds <br />