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Chi Chi Ray, Oakridge Energy, Inc. <br />C -1992 -080 <br />August 29, 2012 <br />Page 2 of 4 <br />construction materials operator. Our review indicates that these wells were and continue to be <br />part of the coal permit. <br />The Division's most recent "Findings" document was prepared for the SL -4 bond release and is <br />dated March 11, 2011. This findings document makes the following statement: "Bond must be <br />retained for... the sealing and reclamation of monitoring wells 17 -B, 94 -1, and 95 -1 ". The <br />inclusion of Well 95 -1 in this list indicates the Division understood that this well had been <br />constructed for the coal permit, and that reclamation of the well is the responsibility of the <br />permittee. (The Division may have been unaware, at the time the bond release findings were <br />prepared, that wells B 10 and PW 1 (82 -4), permitted under PCI's Carbon Junction Mine permit, <br />number C -1982 -054, were still in existence.) <br />We have also reviewed the permit for Ewing Mesa Pit. No. 1. The reclamation section of the <br />permit states that the two wells [PW1 (82 -4) and 95 -1], "will be returned to the landowner after <br />reclamation." Unless Oakridge can document otherwise, the Division believes the scaling and <br />final abandonment of these wells is part of the coal permit. <br />Wells B17 and 94 -1 were not observed during the inspection, and Mr. Savage indicated that <br />these have been previously sealed and reclaimed. The Division has not found documentation <br />regarding the scaling and abandonment of these wells. <br />In summary, there appear to be three wells constructed for the Carbon Junction Mine that yet <br />remain to be sealed and reclaimed: B10, PW1 (82 -4), and 95 -1. Two wells (B17 and 94 -1) <br />appear to have been previously reclaimed, although the Division may not have received the <br />documentation required. Please submit an application for a Minor Revision to the permit that <br />addresses sealing and reclamation of all five of the wells identified on Map 4 -3 — Well and <br />Spring Locations. Please clarify which wells have been already reclaimed, and which wells are <br />to be reclaimed in the future. Rule 4.07 addresses the requirements for sealing of drilled holes <br />and underground openings. The approximate locations of the wells (with the exception of B17) <br />are identified in the first two photos attached to this letter. <br />Light -Use Road for Well Access <br />A light -use road appears to have been constructed to provide access for the drilling of Well B 10 <br />and what may be an uncompleted well site, which we also observed on July 30' The road is <br />approximately 750 feet in length. The road appears in pink in the attached photo of the northern <br />portion of the permit area. Reclamation of this road, which is required by Rule 4.03.3(7), has not <br />previously been addressed in the permit. If you, as the landowner, wish to retain the road as a <br />permanent feature, please provide a letter to that effect for inclusion within the permit. <br />Conversely, if Oakridge prefers to have the road reclaimed, the permit should be revised <br />accordingly. Please submit an application for a Minor Revision which addresses the light use <br />road accessing the well(s) in question. <br />Carbon Junction Canyon <br />In the upper reach of Carbon Junction Canyon, below the North Pit, is a linear, man -made <br />feature which prevents runoff generated upstream of the permit area from utilizing the drainage's <br />natural channel within the permit area. During the July 30, 2012 inspection, we examined the <br />