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COLORADO DEPARTMENT OF PUBLIC HEALTH AND <br />ENVIRONMENT <br />AIR POLLUTION CONTROL DIVISION <br />STATIONARY SOURCES PROGRAM <br />COMPLIANCE ORDER ON CONSENT Case No 2012 -119 <br />In the Matter of Western Fuels - Colorado A Limited Liability Company <br />The Colorado Department of Public Health and Environment ( "CDPHE "), through the Air <br />Pollution Control Division ( "Division "), issues this Compliance Order on Consent ("Consent Order "), <br />pursuant to the Division's authority under § 25- 7- 115(3xb), C.R.S. of the Colorado Air Pollution and <br />Prevention and Control Act ( "the Act ") §§ 25 -7 -101 to 1309, C.R.S., and its implementing regulations, 5 <br />CCR 1001, et seq ("the Regulations ") with the express consent of Western Fuels - Colorado, a Limited <br />Liability Company ( "WFC'), owner and operator of the New Horizon Mine which is located at 27646 W. <br />5th Ave., Nucla, Colorado 81424, immediately west of the town of Nucla, Montrose County, Colorado. <br />The Division and WFC may be referred to collectively as "the Parties." <br />I. STATEMENT OF PURPOSE <br />The mutual objectives of the Parties in entering into this Consent Order are: <br />1. To establish compliance requirements and criteria for the conduct of the Phase Two <br />preparatory work in connection with the expansion of the New Horizon Mine activities onto the New <br />Horizon North property ("the Facility'); and <br />2. To address potential compliance related issues under the Act and the Regulations identified <br />herein and as determined by the Division and described below. <br />II. DMSION'S FINDINGS OF FACT AND DETERMWATION OF COMPLIANCE <br />CONDITIONS <br />Based upon the Division's investigation into the matters identified herein as well as review of <br />information provided by WFC, and in accordance with § 25- 7- 115(3), C.R.S., the Division has made the <br />following determinations regarding potential violations of regulatory, statutory and/or permit <br />requirements associated with the Facility. <br />3. At all times relevant to the matters addressed herein, WFC was an LLC in good standing and <br />registered to conduct business in the State of Colorado. <br />4. WFC owns and operates the New Horizon Mine. The New Horizon Mine is subject to the Act, <br />the Regulations, and Colorado Construction Permit Number 88MO234F ("Permit Number 89M0234F "). <br />5. New Horizon Mine is a coal mine that is the sole supplier of coal to Nucla Station. Its coal <br />reserves are nearing exhaustion and it plans to expand its operations to an adjacent site known as New <br />W-ffa <br />/7 MGy. ;,0/3 <br />