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2000-10-04_REVISION - M1988112 (2)
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2000-10-04_REVISION - M1988112 (2)
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Entry Properties
Last modified
6/15/2021 2:56:16 PM
Creation date
11/21/2007 10:34:14 PM
Metadata
Fields
Template:
DRMS Permit Index
Permit No
M1988112
IBM Index Class Name
Revision
Doc Date
10/4/2000
Doc Name
REQUEST FOR INFO CURRENT COST OF OPERATING THE R/O UNIT TR26 SAN LUIS PROJECT M-88-112
From
DMG
To
BATTLE MOUNTAIN RESOURCES INC
Type & Sequence
AM1
Media Type
D
Archive
No
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~ Ill illlililliilllll ~ <br />STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Nawral Resources <br />I l l l Sherman SL. Rwm 21 i <br />Denver, Colorado 80203 <br />Phone 13031866-3561 <br />FA;(: 13071 832-8 7 06 <br />October 4, 2000 <br />Mr. Ron Zumwalt <br />Battle Mountain Resources Inc <br />PO Box 310 <br />San Luis CO 81 l52 <br />\~ <br />DIVISION O F I <br />MINERALS <br />& I <br />GEOLOGY <br />R EC LA nAiION <br />MINING~SAF ET7 <br />Bill Owens <br />Governor <br />Greg E. 4VaCher <br />E+ecuuve D~reaor <br />Michael B. Long <br />O~~ision Dicecmr <br />Re: Request for Information, Current Cost of Operating the R/O Unit, TR-26, San Luis Project, <br />M-88-1121,` <br />Dear Mr. Zumwalt: <br />Since there have been a few changes recently in the management and operations ,lf the R10 unit, <br />the Division is requesting updated information regarding the cost of operating [ht+ facility. <br />As you recall, the R/O unit was initially constructed and operated by ERI Technical Operations <br />under an agreement which delineated the cost of running the facility. The bid from ERI included <br />all of the operational costs (chemical use, staff, power, etc.) for a facility that would process 180 <br />gallons per minute of West Pit backlll water. The bid price was quoted at $6.901~er 1000 gallons <br />of treated water. This number was used to calculate a portion of the Financial Warranty <br />requirement for the West Pit water management program. <br />Early this year, BMRI terminated the contract with ERI and hired another compar y to manage <br />and operate the R/O facility. In addition, the amount of West Pit backfill water being processed <br />through the facility was increased to approximately 400 gallons per minute. Will these changes <br />sufficiently increase the cost of operating and, therefore, require an increase in the bond? Was the <br />certified operator of the nano-filtration unit replaced? If so, was a new operator's ~:ertificate <br />placed in the office of the facility where it is readily available upon request by the Division? <br />Other changes which have occurred recently include the approval to pump R/O br ne water to the <br />tailings facility (TR-30) and an increase in down time of the facility in order to pu -ge and replace <br />filters (and complete other maintenance activities) which results in additional backfill water <br />being pumped to the tailings facility. The brine water and backfill water is totally consumed by <br />evaporation so it needs to be included in the augmentation plan and will need to bt: included in <br />the bond. <br />The Division estimates there will be 16.2 million gallons of brine water and 18.9 r.tillion gallons <br />of Wes[ Pit backfill water pumped to the tailings facility each year. This amounts to 108 ac-ft of~ <br />water which needs to be replaced. Under the current scenario, replacement costs would amount <br />
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