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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866 -3567 <br />FAX: (303) 832 -8106 <br />April 8, 2013 <br />Lisa Escher — Ranch Manager <br />Lazy H Ranch <br />44964 Highway 133 <br />Paonia, CO 81428 <br />Re: West Elk Mine (Permit No. C- 1980 -007) <br />Revision: SL -5 <br />Request for Phase I Bond Release <br />Dear Ms. Escher: <br />COLORADO <br />ID IV I S I O N O F <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />The Division of Reclamation, Mining and Safety has received a revision for the West Elk Mine. <br />The revision was called complete on April 8, 2013. The decision due date will be based on the <br />bond release inspection date, which will be scheduled at a later date. <br />The Mountain Coal Company, LLC has submitted a Partial Phase I Bond Release application for <br />the West Elk Mine. The Partial Phase I Bond Release application is for methane drainage well <br />sealing, drill pad and access road backfilling and grading and drainage control reestablishment. The <br />reclaimed methane drainage wells were located in the West Flatiron, Box Canyon and Dry Fork of <br />the Minnesota Creek areas. This is a Partial Phase I Bond Release application so there will be no <br />changes to the permit boundary or the disturbed area. There will be a decrease in the mine's <br />reclamation liability as a result of this Partial Phase I Bond Release. The amount of the liability <br />release will be determined following the Division's review of the application and the field <br />inspection. <br />This revision is available for review at the Gunnison County Planning Department, 201 E. Virginia, <br />Gunnison, CO 81230. <br />If you have any questions, please contact me. <br />Sincerely, <br />James R. Stark <br />Environmental Protection Specialist <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />