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<br />Applegate <br />Group,1~~. <br />December 20, 2005 <br />RECEIVED <br />oEC z ~ zoo5 <br />Division d Mirerals and Geology <br />Ms. Erica Crosby <br />Environmental Protection Specialist <br />Division of Minerals and Geology <br />1313 Sherman Street, Room 215 <br />Denver, Colorado 80203 ~'~J ~~~~/~`~ <br />~voV=,~' <br />RE: Partial Acreage Reduction and Warranty Release Request; <br />Jake Kauffman & Son; Inc.; Kauffman Pit; M-78-327 <br />Dear Ms. Crosby: <br />The following information is being submitted on behalf of our client, Jake Kauffman & Son, Inc. <br />The Kauffinan Pit mining operation (M-78-327) is located mainly in the South '/ of Section 20, <br />Township 5 North, Range 68 West of the 6`" P.M. The site is located in Larimer County. <br />approximately 1.5 miles east of Loveland, Colorado. <br />The active mining operation is currently located in the east half of the permit area. The eastern <br />83 acres of the permitted mine area were added to the original Kauffmar Pit permit by <br />Amendment AM-O1 in 1989, with a groundwater lake included in the final land use for the <br />amended azea. In 1999, Technical Revision TR-03 changed the final land use of the amended <br />83 acres io include backfilling of the entire mine pit. Copies of some of the Technical Revision <br />documents are included for reference. <br />Jake Kauffman & Son, Inc. is requesting release of 56.8 acres of the permit azea for its inclusion <br />in the adjacent Wagner/Kauffman Pit #3 permit, M-1999-069 (see attached Partial Release <br />Request Plan Map). An amendment to the Wagner/Kauffman Pit #3 permit is currently under <br />review and the amendment proposes including the 56.8 acres within the Wagner/Kauffman Pit #3 <br />reclamation plan and financial warranty. For this reason, we waive the timeframes associated <br />with this release request so that they may occur concurrently with the amendment approval. <br />During approval of Technical Revision TR-03, additional financial warranty was posted for the <br />mining and reclamation of the eastern 83 acres of the Kauffman Pit permit. It is our <br />understanding that, with the addition of TR-03, a financial warranty of $292,100.00 was added to <br />the Kauffman Pit permit. The added fmancial warranty covered backfilling and revegetation of <br />the entire mined area. Since mining and reclamation in a majority of the azea (56.8 acres) will be <br />bonded under the proposed Wagner/Kauffman Pit #3 permit amendment, a bond reduction for <br />the Kauf&nan Pit is also requested. The table below summarizes the mining disturbance and <br />proposed bond for the 26.2 acres not included in the.Wagner/Kauffman Pit #3 amendment. Of <br />1499 West 120th Avenue, Suite 200 ~ (303i 452-6611 • Fax (303j 452-2759 <br />Denver, Colorado 80234-2759 www.applegategroup.com <br />~~V <br /> <br />