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III IIIIIIIIIIIIIIII ~ STATE ~ COLORADO <br />DIVISION OF MINERALS ANO GEOLOGY <br />Deparlmem of Natural Resources <br />131 3 Sherman 51.. Ronm ? 15 l`yk <br />Denver, Colorado fl0203 y <br />Phone:l}OJl flbb-3567 Illl <br />FA%: (303) 832-8106 <br />MEMO DEPARTMENT OF <br /> NATURAL <br /> RESOURCES <br />February 6, 1998 er <br />co a ~o <br /> , <br /> lames 5. lochhead <br />TO: Michael B. Long, Division Director Execwirc D~reaor <br /> Michael B Long <br /> Drvrsion Director <br />FROM: -Ton Waldron, Environmental Protection Specialist <br />1 <br />RE: Siloam Stone; Bedrock Mine; DMG Permit No. M-97-086; Permitting <br />Synopsis <br />Following is a brief synopsis of the permitting review for the Bedrock Mine which is operated by <br />Siloam Stone. <br />The site is located in Pueblo County approximately 6.5 miles northeast of the town of Beulah, <br />Colorado and near the intersection of Siloam Road and Red Creek Road. Hazbison-Walker <br />Refractories Corp. originally began mining on this site in 1959 under a lease with the State Land <br />Boazd to extract clay. In 1968, Colorado Refractories Corp. Purchased Harbinson-Walker and <br />was assigned the original clay lease in 1972 and also expanded the lease to include the entire 640 <br />acres of the state section for the mining of decorative stone, building stone, rip-rap, etc. In 1977 <br />Colorado Refractories obtained a Limited Impact Mining Permit known as the Siloam Mine (M- <br />77-326) from the predecessor of the Division of Minerals and Geology (Mined Land <br />Reclamation Division). In 1990 Colorado Refractories was acquired by a Adience, Inc. During <br />this particulaz property transaction, Adience received the original clay lease dating back to 1959, <br />but not the remaining mineral lease which was retained by Ferd Mueller. who is the owner of <br />Siloam Stone. <br />Mr. Mueller and Adience, Inc. entered into an agreement which allowed Siloam Stone to remove <br />and mazket the surface stone and overburden over the clay deposit which, then allowed Adience <br />to mine the clay. <br />[n 1995, the State Land Board sold or traded the surface rights to this state section to a third <br />party, while retaining the mineral rights which were leased to Adience and Siloam Stone. <br />This operation went smoothly for several years until operations expanded outside of the original <br />permitted site and was brought to the attention of the Division. As a result of conducting <br />operations outside of the permitted site, Siloam Stone was issued a Notice of Violation on March <br />24, 1997, which in conjunction with a fine, required them to immediately obtain a valid mining <br />permit for the additional area that was being mined and to further proceed with obtaining a 112 <br />