(1) A permit shall terminate if the permittee has not commenced the surface coal mining operations covered by the permit within three (3) years of the issuance of the permit.
(2) The director may grant reasonable extensions of time upon a showing that extensions are necessary by reason of litigation precluding such commencement or threatening substantial economic loss to the permittee, or by reason of conditions beyond the control and without the fault or negligence of the permittee.
(3) With respect to coal to be mined for use in a synthetic fuel facility or specific major electric generating facility, the person shall be deemed to have commenced surface mining operations when the construction of the synthetic fuel or generating facility is initiated.