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<br /> STATE OF COLORADO <br />D{V{SION OF MINERALS AND GEOLOGY <br />DeNarrment of Natural Resources <br />131 3 Sherman SL, Room ? I $ <br />D I V I S I O N O F <br />Denver, Colorado 80203 <br />Phone: (3031 866-3567 M l N E R A L 5 <br />FA7C: (303) 83?-8106 & <br /> GEOLOGY <br />November lb, 2000 MEN INGMSAFETY <br />Mr Bill Lyle eal o~e~, <br /> Governor <br />Battle Mountain Resources Inc <br /> ereti e watcher <br />PO Box 1627 e.¢<olrvc Direclnr <br />Battle Mountain NV 89820-1627 hlicha¢I B Lnnp, <br /> Division Oveclor <br />Re: Proposal to Drill an Offset to SF-1 Point of Compliance, San Luis Project <br />Deaz Mr. Lyle: <br />The Division received and reviewed BMRI's proposal to drill and complete an offset well to the <br />SF-1 Santa Fe formation point of compliance monitoring well pursuant to Division requirements <br />outlined in the October 19, 20001etter. <br />The proposed geographic location is acceptable. The proposed drilling depth (point where <br />drilling will be suspended) is acceptable. The proposed well construction activities aze <br />acceptable. However, BMRI will need to provide additional well completion det6ils. For <br />instance, the proposal should include information about the upper interval of blank PVC pipe <br />(the annulaz space above the alluvium/Santa Fe contact). Will it be grouted or will] some other <br />construction method be used to hold it in place? Grouting, along with 2 feet of b&ntonite chips, <br />will ensure a sufficient seal to prevent communication between the alluvium and Santa Fe. Will <br />steel surface casing be installed and how will the casing will be held in place? Will the final <br />construction of the well include a steel locking cap? The proposal will be approved as soon as the <br />Division receives an adequate response to the items of concern. Also, BMRI must submit a <br />geologic log and construction detail report within 30 days after the well has been drilled and <br />completed. <br />The Division is willing to meet with BMRI to discuss sample collection and analytical <br />procedures for the replacement well. If you will provide the Division with a range of dates, I am <br />sure we can find a day which will fit into everybody's schedule. With the holiday seasons coming <br />up, the Division would need to know as soon as possible which day we can schedule the meeting. <br />Please notify me when a firm drilling date is set so I can arrange my travel agenda. I would like <br />to be onsite during the drilling and completion of the well. <br />If you have any questions, please give me a call. <br />