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~~P~_ <br />iii iiiiiiiiiiiiiiii <br />The Pittsburg & Midway Coal Mining Co. 999 <br />A Chevron Company <br />6490 South Fddler's Green Circle, Englewood, CO 80111-0991 <br />Argil Address: P.O. Bar 6518, Englewmd. C0901S56SI8 ~ FAl((303) 9364204 ~ Pnane (303) 9343fi00 <br />February 24, 1995 <br />RF~;EIVED <br />~f ~ 2 ~ 1995 <br />Civision or m;~nerd s a f'oolo9Y <br />Edna Mine Certificate of Liability <br />Insurance No. 95-025C <br />Mr. Kent Gorham <br />Colorado Mined Land Reclamation Division <br />1313 Sherman Street, Room 214 <br />Denver, CO 80203-2273 <br />Dear Mr. Gorham: <br />The Office of Surface Mining Reclamation & Enforcement (OSM) has questioned the adequacy of <br />P&M's liability insurance coverage. The OSM believes that P&M's primary multi-state policy is <br />not sufficient insurance to cover claims that may occur at two or more operations. P&M disagrees <br />with the OSM's contention; the Company has always maintained adequate insurance coverage. <br />However, to satisfy the OSM's concerns, P&M has an excess liability policy. <br />Liability insurance coverage of at least $300,000 per occurrence and $500,000 aggregate is required <br />in the states where P&M has operations. P&M's renewed CLI forms have a general liability <br />policy and an excess liability policy. The total liability of these two multi-state policies is $4.5 <br />million per occurrence and $7.5 million aggregate. This should provide overall liability coverage <br />to insure all of P&M's operations. (Note: There is one spare coverage in the event P&M permits a <br />new operation in 1995). This overall liability coverage will be reflected on the 3/1/95 renewed <br />Certificate of Liability form which your office should receive from Marsh & McLennan. <br />Enclosed is a sheet which summarizes P&M's multi-state operations and the amount of required <br />liability insurance. This information indicates that P&M's multi-state insurance coverage is <br />adequate to comply with regulatory requirements. <br />If you have any questions regarding this information, please call me at (303) 930-4030. <br />%'~' y~ ,~ <br />M. E. Campbell <br />Senior Environmental Engineer <br />MEC:BNG <br />Enclosure <br />cc: D.L. Beverlin, Edna Mine <br />