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Notice of Competitive Coal Lease Sale COC-74813, CO

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Bureau of Land Management, Interior.


Notice of Competitive Coal Lease Sale.


Notice is hereby given that certain Federal coal reserves (Red Wash Tracts 1 and 2) in Moffat and Rio Blanco Counties, Colorado, will be offered for competitive lease by sealed bid in accordance with the provisions of the Mineral Leasing Act of 1920, as amended.


The lease sale will be held at 10 a.m. on May 29, 2013. The sealed bid must be submitted on or before 9:30 a.m. on May 29, 2013.


The lease sale will be held in the Fourth Floor Conference Room of the Bureau of Land Management (BLM) Colorado State Office, 2850 Youngfield Street, Lakewood, Colorado 80215. Sealed bids must be submitted to the Cashier, BLM Colorado State Office, at the address given above.

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Kurt Barton, Land Law Examiner, at 303-239-3714, or Persons who use a telecommunications device for the deaf (TDD) may call the Federal Information Relay Service (FIRS) at 1-800-877-8339 to contact the above individual during normal business hours. The FIRS is available 24 hours a day, 7 days a week, to leave a message or question with the above individual. You will receive a reply during normal business hours.

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This coal lease sale is being held in response to a lease by application (LBA) filed by Blue Mountain Energy, Inc. The Federal coal reserves to be offered consist of all reserves recoverable by underground mining methods in the following described lands located in Moffat and Rio Blanco counties, Colorado:

Sixth Principal Meridian

T. 3 N., R. 101 W.,

Sec. 17, SW1/4SW1/4, and S1/2SE1/4SW1/4;

Sec. 18, lots 3 and 4, S1/2NE1/4SW1/4, SE1/4SW1/4, S1/2NE1/4SE1/4, S1/2NW1/4SE1/4, and S1/2SE1/4;

Sec. 19, lot 1, NE1/4, NE1/4NW1/4, N1/2SE1/4NW1/4, and N1/2NW1/4SE1/4;

Sec. 20, NE1/4, N1/2NW1/4NW1/4, and N1/2NE1/4NW1/4;

Sec. 21, W1/2NE1/4, SE1/4NE1/4, NW1/4, and N1/2SE1/4;

Sec. 22, S1/2NW1/4, SE1/4SW1/2, N1/2SW1/4, and SE1/4;

Sec. 23, S1/2SW1/4, and S1/2SE1/4;

Sec. 26, N1/2, SW1/4, N1/2 SE1/4, and SW1/4SE1/4;

Sec. 27, E1/2, E1/2NW1/4, E1/2SW1/4, and SW1/4SW1/4;

Sec. 34, N1/2NE1/4, and NW1/4;

Sec. 35, NW1/4NE1/4, and N1/2NW1/4.

Containing 3,154.76 acres more or less.

The tracts contain an estimated 21.3 million tons of recoverable coal reserves. The underground minable coal is ranked as C bituminous coal. The estimated coal quality on an as-received basis for the tracts is as follows:Start Printed Page 19521

British thermal unit (BTU)8,000-10,600 BTU/lb.
Volatile Matter23.8-35.93
Fixed Carbon29.87-46.9
Sulfur Content0.30-0.95
Ash Content7.0-20.0

The tracts will be leased to the qualified bidder of the highest cash amount provided that the high bid meets or exceeds the BLM's estimate of the fair market value of the tract. The minimum bid for the tracts is $100 per acre or fraction thereof. The minimum bid is not intended to represent fair market value. The fair market value will be determined by the authorized officer after the sale.

The sealed bids should be sent by certified mail, return-receipt requested, or be hand delivered to the Cashier, BLM Colorado State Office, at the address given above and clearly marked ”Sealed Bid for COC-74813 Coal Sale—Not to be opened before 10 a.m., 10 a.m., May 29, 2013.”

The cashier will issue a receipt for each hand-delivered bid. Bids received after 9:30 a.m. May 29, 2013 will not be considered. If identical high bids are received, the tying high bidders will be requested to submit follow-up sealed bids until a high bid is received. All tie-breaking, sealed-bids must be submitted within 15 minutes following the sale official's announcement at the sale that identical high bids have been received. Prior to lease issuance, the high bidder, if other than the applicant, must pay the BLM the cost recovery fees in the amount of $50,969.80 in addition to all processing costs the BLM incurs after the date of this sale notice (43 CFR 3473.2).

A lease issued as a result of this offering will provide for payment of an annual rental of $3 per acre, or fraction thereof, and a royalty payable to the United States in the amount of 8 percent of the value of coal mined by underground methods.

Bidding instructions for the LBA tracts offered and the terms and conditions of the proposed coal lease are included in the Detailed Statement of Lease Sale and available from the BLM Colorado State Office at the address above. Case file documents, COC-74813, are available for inspection at the BLM Colorado State Office Public Room.

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Helen M. Hankins,

BLM Colorado State Director.

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[FR Doc. 2013-07458 Filed 3-29-13; 8:45 am]