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<br />Richard D. Lemm <br />Governor <br />DEPARTMENT OF NATURAL RESOURCES <br />David H. Getches, Executive Director <br />MINED LAND RECLAMATION DIVISION <br />DAVID C. SHELTON, Director <br />February 14, 1984 <br />T0: Mike Savage and Arian nson <br />FROM: Dan Mathews //~-~\~ <br />RE: Bonding - Meeker Min <br />Rienau No. 2 Bonding <br />I have reviewed the reclamation cost estimates contained in the <br />Rienau No. 2 Increased Production Modification Volume dated April 10, 1981. <br />The Information provided is complete and, without exception the cost <br />estimates are conservative, when compared to standard industry estimating <br />manuals. For example, using Cat Handbook productivities and Rental Rate <br />Bluebook costs, topsoil redistribution would be ;1.12/yd3. Northern <br />used an estimate of 51.39/yd3. Northern used a cost of over <br />E13.00/1l near foot for conveyor removal, which is in excess of estimates <br />previously accepted by the Division. Regrading, portal sealing, and <br />revegetatton estimates were comprehensive and conservative (revegetatton <br />costs alone were estimated at over ;1,800.00 per acre). <br />The total bond amount proposed by the applicant (;439,915.00) should be <br />sufficient to cover the cost of reclamation. <br />Northern No. 1 Bonding <br />The reclamation cost estimates for the Northern No. 1 Mine contain no <br />detailed cost breakdown for facilities removal although based on the <br />limited number of facilities remaining at the site, ;75,000.00 proposed by <br />the applicant would probably be sufficient. Facilities to be removed are: <br />2 water storage tanks, 2 electric substations, 1 workshop, and 1 rock dust <br />bin. <br />The costs for regrading, (;1.57/yd3), topsoiling (;5,00/yd3), <br />revegetatton (;1,500.00/acre), and portal sealing (;35,000.00/adit) are <br />conservative. The total cost of ;267,000.00 (which Includes <br />administrative fee) proposed by the applicant is sufficient. <br />No-k <br />Cost estimates have been submitted to cover the cost of reclaiming the <br />access road to the Northern No. 1 facilities area. Is the road to be <br />approved for use after mining? If not, a reclamation plan and reclamation <br />cost estimates will have to be submitted. <br />423 Centennial Building, 1313 Sherman Street Denver, Colorado 80203 Tel. (303) 866-3567 <br />iii iiiiiiiiuiiiiii <br />99 <br />