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January 09, 2007 <br />Mr. Allen Sorensen <br />State of Colorado <br />Division of Minerals and Geology <br />1313 Shennan Street, Room 215 <br />Denver, CO 80203 <br />Re: Battle Mountain Resources Inc. <br />San Luis Project ,, <br />CMLRB Permit No, M-88-112 <br />~cember 2006 Monthly Report <br />Dear Mr. Sorensen: <br />/JAN 112001 <br />~I~Mlnlnpta d Sefety n <br />The following summarizes monitoring and site activities at the Battle Mountain Resources Inc. <br />(BMRI), San Luis Project for the month of December 2006. <br />Surface and ground water monitoring and analysis were completed for all required sites during <br />the month per the terms and conditions of the TR-32 Quality Assurance and Quality Control <br />(QA/QC) Plan. <br />Vacuum on the tailing lysimeters was verified on December 27`", no water was present for <br />sampling and subsequent analysis. <br />Depths to water were collected for the tailing impoundment main embankment piezometers and <br />the West Pif and tailings embankment monitoring wells on December 27w. December tailing <br />impoundment piezometer measurements identified these installations were either dry or contained <br />less than 12 inches of water as illustrated in Table 2. Tables 1 and 2 below identify the depth to <br />water measurements collected for each of the site monitoring wells, piezometers and lysimeters as <br />required by the terms and conditions of the TR-32 QA/QC plan. <br />The tailing impoundment collection pond underdtain flow was pumped intermittently during the <br />month to minimize the collection pond level. The leak detection system was measured on <br />December 2T". The December tailings pond underdrain flow average was 33.53 gpm and a total <br />of 950 gallons of water was excavated from the leak detection system yielding a monthly average <br />of 32.75 gpad. <br />During December the West Pit water treatment plant operated efficiently discharging a total of <br />7,222,900 gallons (22.17 acre-feet) of water to Rito Seco Creek and a total of 427,100 gallons <br />(1.31 acre-feet) of water was transferred from the water treatment plant to the tailings <br />impoundment. Seepage along Rito Seco Creek remained dry during the month. <br />P.O. Box 310 • San Luis, Colorado 8 1 1 52-03 1 0 (719) 379-0798 Pax (719) 379-0713 <br />