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Hydro-Environmental Solutions, Inc. <br />hydrology, water quality and environmental consu/ting services <br />November 10, 2005 <br />Mr. Byron Walker <br />Colorado Division of Minerals and Geology <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />Re: Hayden Gulch Mine, Permit C-80-003 <br />Final Bond Release Application <br />Dear Mr. Walker: <br />RECEIVED <br />NOV 15 2005 <br />Division ~l Minerals and Geology <br />On behalf of Hayden Gulch Terminal, Inc. (HGTI), enclosed, please find three (3) copies of a Final <br />Bond Release Application for the Hayden Gulch Mine, Permit No. C-80-003. This Final Bond <br />Release Application covers the four, small, non-contiguous parcels, covering 8.9 acres, which <br />comprises the current permit area. These 8.9 acres are all that remains of the Hayden Gulch Mine. <br />The Colorado Division of Minerals and Geology (CDMG) approved a partial Phase II/Phase III <br />bond release (SL-03) in July, 1999. SL-03 released the operator from reclamation liability from 355 <br />acres of the total 364 disturbed acres. <br />This Final Bond Release Application presents revegetation data which demonstrates that the <br />reclamation and revegetation activities conducted at the mine have resulted in the fulfillment of the <br />revegetation success criteria and establishment of vegetation that supports the approved post-mining <br />land use. There are no hydrologic demonstrations required for this bond release as CDMG and the <br />Colorado Water Quality Control Division eliminated all hydrologic monitoring requirements <br />following the approval of SL-03. <br />HGTI has an outstanding bond liability of $27, 437.27 on the Hayden Gulch Mine. The Final Bond <br />Release Application requests that CDMG release HGTI from any further reclamation liability at the <br />site and release the bond in its entirety. <br />Should you or any other member of the Colorado Division of Minerals and Geology (CDMG) have <br />any questions regarding this information please do not hesitate to contact Mr. John Weinman at 970- <br />846-5112. <br />Regards, <br />Hydro-Environmental Solutions, Inc. <br />(on fofHayde)nGulchTerminal,Inc.) <br />~`-./Q. <br />J n C. Weinman <br />Project Manager <br />enclosure <br />cc: Brian Dunfee, Peabody Energy <br />P.O. Bax 772996 <br />57 I d° Street, Suite B <br />Steamboat Springs, CO 80477 <br />970-871-6125 ' 970-871-6/96 (fax) <br />