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DESERADO MINE <br />BLUE MOUNTAIN ENERGY <br />3607 County Rd. 65 <br />Rangely, CO 81648 <br />(970)675-4300 RECEIVE <br />fax (970)675-4399 <br />august I6, 2006 AUG 17 2006 <br />Division of a d Safety n <br />Mr. Jim Burnell Mining <br />Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />RE: Sediment Pond Inspection Report for 2nd Quarter 2006. <br />Blue Mountain Energy, Inc., Deserado Mine (Permit C-1981-018). <br /> <br />Dear Jim: <br />Enclosed is the Sediment Pond Inspection Report for the 2nd quarter 2006 for the <br />Deserado Mine. The only discharge that occurred during the quarter was from DP-1 <br />other than the Raw Water Lagoon. All discharges remained incompliance. <br />If you have any questions, please call me at (970)675-4322. <br />Sincerely, <br />~~~_, <br />Scott Wanstedt <br />Environmental Engineer <br />enc.: <br />