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L . III ~ii~ll~ii~ = 999 STATE OF ~ll~il COLORPtDO DIVISION OF MINERALS AND GEOLOGY Depdriinenl Jt Nllum RecourCes 111.1 Sherrnan 51., Ruom 215 DIVISION OF Uerner, Colorarlo 80?03 MINERAL S rhnne~ (1D31 A66-3567 FAX LiOJI A 1?-A106 & January 7, 2002 G E O L O G Y R E C L A M A T I O N MINING~SAFETY Tonya Hammond Snowcap Coal Company, Inc. P.O. BOX 143U Bill Owenv Governor Palisade, Colorado 81526 Grey t w~la,~r fxcculive Uueaur RE: Application for Transfer of Coal Permit and Succession of Operators (SO-2) Mlr.n,cl a tong Roadside North and South Portals Mine (Permit C-1981-041) Dwieion UireUOr Powderhom Coal Company/Snowcap Coal Company, Inc. Dear Ms. Hammond: The Division has received the referenced penni[ transfer application, and determined it to be complete for purposes of filing. The Division, however, requests the additional information detailed below in order to process your application. Please proceed with publication of [he public notice in the Grand Junction Sentinel, and ensure that a copy of the transfer application is available for public review at the office of the Mesa County Clerk and Recorder. Based on our initial review, we have the following requests: I. Please identify in writing the individual(s) designated as permitting contact and inspection contact for Snowcap Coal Company, Inc. In addition, please provide documentation that the designated contact(s) do have the authority to bind Snowcap Coal Company, lne. 2: Pursuant [o Rule 2.03.5(3), please address the existence of any unabated cessation orders or unabated air and water quality violation notices received by Snowcap Coal Company or any of its owners and controllers. 3. Under item 2.03.5(3) of the application, there is a reference to Table 3-2 Notice of Violation List, which is the current list applicable to Powderhom Coal Company. For clarification purposes, it is recommended that the application state that, because Snowcap Coal Cumpany, Inc. is a newly formed company, it has not yet received any such notices of violation. 4. Regarding legal right of entry, the application references lease documents, deeds, and right-of-way agreements listed in various pettnit tables, which document right of entry forPowderhorn Properties Company or Powderhom Coal Company. Please provide documentation that can be inserted in the applicable permit sections, demonstrating the basis for legal right of entry by Snowcap Coal Company, Inc. 5. The certificate of insurance form included with the application appears not to comply with the following specific requirements of Rule 2.03.9: • The certificate does not specify that explosives coverage is included. • The required bodily injury and property damage minimums of $300,000.00 for each occurtence are not me[. • The cancellation rider language does not comply with 2.03.9(3), due [o inclusion of "endeavor to" and the clause beginning, "but failure to mail such notice..."