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<br />• III IIIIIIIIIIIIIIII • <br />BATTLE MOUNTAIN RESOURCES, INC. <br />tiE~, .. ~ 199.s <br />nE n+our+w~N <br />D C01rPANV <br />September 24, 1993 <br />Dr. Harry Posey, Reclamation Specialist <br />Colorado Division of Minerals and Geology <br />1313 Sherman Street, Room 215 <br />Denver, CO x_0203 <br />Re: Battle Mountain Resources, Inc. (BMRI) - San Luis DMG Permit <br />No. M-88-112 <br />Third Party Sampling <br />Dear Dr. Posey: <br />As per our recent conversation, I am providing you an >lipdate and <br />BMRI's latest estimate as to the timing and cost status with <br />RCG/Hagler Bailly, Inc. (RCG) for the completion of the t ird party <br />sampling at San Luis. As was stated in our August 2, 19 3 letter, <br />the contract is nearing its conclusion date of October 19, 1993 and <br />will overrun the revised budget of $25,488 if allowed t continue <br />past our proposed resolution. <br />we have reviewed RCG billing through August 31, 1993 and find BMRI I <br />has been invoiced for $18,461.74. This cost represents 720 of the <br />total revised budget of $25,488. However, this cost ref ects only <br />52$ of the total work completed as of this date (4 of 7 scheduled J <br />visits completed and 3 of 7 reports received and bille ). It is <br />absolutely certain RCG will exceed the revised budg t if the <br />program is allowed to be fully executed. BMRI estimate that the <br />ultimate cost will exceed $36,000. This overrun would e 132 of <br />the nri Ri P.al budget prod used by Dr. M~est. and c,+ol31c? an ~~P rr>>n of <br />41$ of the revised budget agreed to by all parties. <br />BMRI's position is obvious in light of the fact that clearly no <br />substantial issues or anomalous sample results have) occurred <br />throughout this entire third party sampling period. a believe <br />that this situation cannot be allowed to continue. Ac ordingly, <br />we have offered what we believe is a reasonable compromis position <br />in that the third party sampling contract be allowed t continue <br />for one final sampling period (tentatively October 14- 5, 1993), <br />the completion of reports through this final sampling e fort, and <br />the completion of a final summary report. The projected ost to do <br />this work cuupled with remaining outstanding invoices wil by BMRI <br />projections, slightly exceed the revised budget. <br />Gauging all facets this program was intended to addrless, this <br />A SLfBSIDIARY OP RATT'LF Afl1 UNTA/N GOLD COMPANY <br />P.O. BOX 31U S.4N LUIS. COLORADO A 1152 0310 1719) 672 336? FAX 1719) 672-3363 <br />