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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />COLORADO <br />DIVISION O F <br />RECLAMATION <br />MINING <br />-&- <br />SAFETY <br />Bill Ritter,lr. <br />Governor <br />Harris D. Sherman <br />Executive Director <br />Apri129, 2008 Ronald w. cattany <br />Division Director <br />Natural Resource Trustee <br />Michael Sheahan <br />Front Range Aggregates, LLC <br />3655 Outwest Dr. <br />Colorado Springs, CO 80910 <br />Re: Parkdale Project, Amendment Approval, Permit No. M-1997-054, Revision No. AM-1 <br />Dear Mr. Sheahan: <br />On April 29, 2008 the Division of Reclamation, Mining and Safety approved the Amendment application submitted to <br />the Division on October 1, 2007, addressing the following: <br />Change the Post-Mining Land Use to Water Storage from Range Land. Increase the affected acres from 173 to <br />200 acres. <br />The terms of the Amendment No. 1 approved by the Division are hereby incorporated into Permit No. M-1997-054. <br />The conditions of the Division approval are noted below. Please note that all other provisions of Permit No. M-1997-054 <br />remain in full force and effect. <br />Stipulation No. Description <br />1. A visual inspection of the excavated highwalls should be done on a weekly basis for the first 6 months of mining. This <br />inspection should consist of walking the existing ground and looking for any signs of stress cracks or other potential signs of slope failure. <br />Some minor stuffing of highwalls is expected on any mine site. The intent of this inspection is to locate potential major slope failures that <br />could potentially extend back into a structure. <br />2. A visual inspection should be done anytime a major precipitation event that has saturated the ground using the same procedures. A major <br />precipitation event defined as a storm that produces an intensity level reaches once in 50 years on the average. <br />3. If a visual inspection detects signs of potential slope failure, qualified personnel should be contacted to evaluate and recommend <br />remediation work to stabilize the area. <br />4. If no visible signs of slope failure are detected within the first 6 months, then the inspection period could be reduced to once per month or <br />after every major precipitation event. <br />The total warranty for the site through year 2030 is $4,270,636.OO.The operator wants to post the bond in phases. <br />The current warranty in the amount of $1,145,736.00 covers the mining and reclamation plan through the year <br />2012. At present, the Division is holding a financial warranty in the amount of $276,700, please provide a rider in <br />the amount of $869,036 or a replacement warranty for the full amount so we can release the existing bond. It will <br />be up to the operator to notify the Division through their annual report or a surety increase revision once the year <br />2012 arrives or significant changes occur during the mining and reclamation of the pits. The revision will not be <br />final until the bond is approved by the Division. <br />Office of Office of <br />Mined Land Reclamation Denver Grand Junction Durango Active and Inactive Mines <br />