2012-12-10_PERMIT FILE - X200521206

• Permit No: X200521206
• IBM Index Class Name: Permit File
• Doc Date: 12/10/2012
• Doc Name: Open Exploration Projects
• From: DRMS
• To: Mountain Coal Company, LLC
• Email Name: ERR
• Email Name: DIH
• Media Type: D
• Archive: No

DIVISION OF RECLAMATION, MINING AND SAFETY
Department of Natural Resources
1313 Sherman St., Room 215
Denver, Colorado 80203
Phone: [phone]
FAX: [phone]
STATE OF COLORADO
COLORADO
D I V I S ION Of
RECLAMATION
MINING
SAFETY
December 10, 2012
John W. Hickenlooper
Governor
Kathy Welt
Mike King
Mountain Coal Company, LLC
Executive Director
West Elk Mine
Loretta Pineda
P.O. Box 591
Director
Somerset, CO 81434
RE: Open Exploration Projects
Dear Mrs. Welt:
The Colorado Division of Reclamation, Mining, and Safety (Division) is in the process of reviewing
outstanding Notices of Intents (NOI) on file that have expired, but may still have bond remaining. As a
part of this review, the Division is required to update the liability associated with these NOIs per Rule
3.02.2(4). Mountain Coal Company has four of these NOIs.
Regulatory requirements for final bond release include a submittal of drill hole abandonment reports for
holes drilled, a final reclamation report, a formal written request to the Division requesting for bond
release, and an on -site inspection of the reclaimed success of approved activities. The status of the open
NOIs are listed below with a summary of each NOI based on the research of the files completed by the
Division.
X- 2005- 212 -06
A $53,629.00 bond is held for the project known as the Dry Fork and Lions Mesa Exploration Drilling
located in Sections 1, 2, 11, 12, and 15 of Township 14N Range 90W in Gunnison County. This NOI was
filed on April 20, 2005. Based on the Division's research of this NOI, there were six proposed exploration
sites. On January 25, 2006, the Division received the drill hole abandonment and final reclamation reports
for sites 05 -11 -1, 05 -1 -1, and 05 -12 -1. It was noted in these reports that 05 -11 -1 and 05 -12 -1 were
converted into monitoring wells. As of a September 12, 2006 inspection, another site had been drilled
known as SST -1. According to Mountain Coal Company, via a phone conversation on December 6, 2012,
the final two sites, DDD and GGG, were never drilled.
We ask that you consider the following so that we can both close out this NOI from our files:
1. Please provide the Division with the status of the two wells and information pertaining to permits.
2. Submit final abandonment reports for site SST -1. Please indicate on this report that sites DDD
and GGG were not drilled.
3. Submit the final reclamation report for site SST -1.
4. Submit a letter to the Division officially requesting bond release.
5. Arrange with the Division for an on -site inspection of the exploration reclamation.
Office of Page 1 of 3 Office of
Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines