The director shall determine whether:

1. A. an application for a permit must be denied, limited or conditioned, because surface coal mining operations on those lands are prohibited or limited by Section 69-25A-26 NMSA 1978 of the act, and 19.8.2 NMAC;

2. B. an applicant for a permit covering such lands either had any valid existing rights on August 3, 1977, or was conducting a surface coal mining operation on those lands on August 3, 1977.

   [11-29-97; 19.8.2.200 NMAC - Rn 19 NMAC 8.2.2.200, 9-29-2000]