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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 />C O L O RA D O <br />P I V I S l o N o f <br />Denver, Colorado 80203 <br />RECLAMATION <br />Phone: (303) 866 -3567 <br />N <br />I NIN G <br />MINING <br />FAX: (303) 832 -8106 <br />SAFETY <br />May 10, 2013 <br />John W. Hickenlooper <br />Governor <br />Scott Wanstedt <br />Blue Mountain Energy <br />3607 County Rd. 65 <br />Mike King <br />Executive Director <br />Rangely, CO 81648 <br />Loretta E. Pineda <br />Director <br />RE: Annual Reclamation Report 2012 <br />Deserado Mine, Permit C- 1981 -018 <br />Dear Mr. Wanstedt <br />The Division has completed its review of the above referenced report received on Febuary19, 2013. The Division finds <br />the 2012 Annual Reclamation Report is in compliance of the following Rules: <br />Rule 2.04.13(1) - The Deserado Mine Annual Reclamation Report was received February 19, 2013. <br />Rule 2.04.13(1)(a) - The cover of the annual reclamation report includes the name of the permittee, the address and the <br />permit number. <br />Rule 2.04.13(1)(b) - The annual reclamation report identifies 0.23 new disturbed acres during the calendar year of 2012. <br />It is noted that these acres reflect the B -Seam Dewatering System. This disturbance was approved through TR -68,. <br />Rule 2.04.13(1)(c) - The annual reclamation report identifies 5.35 new backfilled and graded acres during calendar year <br />of 2012. It is noted that these acres reflect RS -5, SC -HG17, Road to SC -HG20, LWB10 -4, LWB11 -1, LWB11 -2, <br />LWB11 -3, LWB11 -4, N8 -12, N8 -21, N8 -36, N8 -51, N8 -55, and Road to SC -HG56. <br />Rule 2.04.13(1)(d) - The annual reclamation report identifies 535 new topsoiled acres during the calendar year of 2012. It <br />is noted that these acres reflect RS -5, SC -HG17, Road to SC -HG20, LWB10 -4, LWB11 -1, LWB11 -2, LWB11 -3, <br />LWB11 -4, N8 -12, N8 -21, N8 -36, N8 -51, N8 -55, and Road to SC -HG56. <br />Rule 2.04.13(1)(e) - The annual reclamation report identifies 5.35 acres which were permanently revegetated during the <br />calendar year of 2012. It is noted that these acres reflect RS -5, SC -HG17, Road to SC -HG20, LWB10 -4, LWB11 -1, <br />LWB11 -2, LWB11 -3, LWB11 -4, N8 -12, N8 -21, N8 -36, N8 -51, N8 -55, and Road to SC -HG56. <br />Rule 2.04.13(l)(f) - A total of 141.09 acres have previously been reseeded. The locations and dates of planting for all <br />previously revegetated areas are listed on page 2 of the annual reclamation report. <br />Rule 2.04.13(2) - The following additional monitoring information was provided: planting specification sheet, seeding <br />invoices for 2012 seeding, 2012 revegetation survey and reclamation visual inspection form. <br />If you have any questions, feel free to contact me. <br />The Division has the following comments: <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />