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• 2.05 APPLICATION FOR PERMIT FOR SURFACE OR UNDERGROUND <br />MINING APPLICATIONS <br />2.05.1 Obiectives <br />The information provided by this Section reviews plans for underground mining and <br />the associated surface operations which New Elk Coal Company, LLC will conduct at <br />the New Elk Mine during the current and future permit terms. Information is <br />provided in this section to ensure that operations are conducted to protect those <br />environmental resources identified in Section 2.04 of this application. <br />The Permit Boundary is shown on Map 1 Surface Ownership, Map 2 Coal <br />Ownership and Map 3 Mine Plan. Additional information regarding surface and <br />coal ownership and life of mine, mine plans are shown on the respective maps. <br />2.05.2 Operation Plan - Life of Operation <br />BACKGROUND <br />• During previous permit terms the underground workings were sealed and bond <br />release granted for those surface areas overlying underground workings not required <br />for continued operations of the surface facilities. Flooding of the mine since <br />temporary closure in 1989 has been monitored in accordance with the hydrologic <br />monitoring plan. During the more recent permit terms, the surface facilities were <br />used to process and ship coal from nearby mines. These mines, the Golden Eagle <br />underground mine and the Lorencito Canyon surface mine, have closed and are now <br />in final reclamation. The railroad tracks running from the Jansen Yard near Trinidad <br />to the New Elk mine were removed, as well as the unit train loadout facility at the <br />East Portal. Obsolete buildings were deconstructed and Phase I bond release <br />achieved for most of the West Portal Area. <br />In 2007, New Elk Coal Company LLC acquired the New Elk Mine and all related <br />permits necessary to begin reentry into the mine and eventually resume mining. <br />Approval was received from MSHA to reopen the east portal airshaft and install a <br />vertical turbine pump to dewater the mine. Approval was received from DRMS to <br />construct a mine-water holding and settling pond adjacent to the east portal airshaft, <br />and drill and set a vertical turbine de-watering pump in a new borehole adjacent to the <br />East Portal Industrial Building. The pump will be placed in operation in 2008. Mine <br />dewatering is expected to take up to six months and be completed by early to mid- <br />2009. <br />LJ <br />RN-05 Page 2.05-1 Revised 11/23/08