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Battle i',~ou~tain's Water Supply Plan Focuses In on "Adding" a New Water Use Water is one of Costilla County's main resources. Like our neiehbors. Battle Mountain Gold recognizes the importance of water in the San Luis Valley. Here are some important facts about Battle Mountain's water plans. Where do we get our water'? To get the water we need, Buule Mountain boueht a farm with water rights. We will use some of our water rights for mining instead of for fatmine. How will we get water to the project site:' We plan to pipeline water to our mine and mill. How will we use water at the San Luis Project° The San Luis Project will use water for dust control, drinking, washing. and other "domestic" uses. We will recycle the water we use for milling. but we will "make up" any water lost to evaporation or consumption by piping replacement water from our farm. Battle Mountain Gold will not use excessive amounts of water. The total amount of water Battle Mountain will use for mining is small. the same as a 300 acres alfalfa farm. This is only pan of the water historically used on the Columbian ranch. We won't hurt anv other water users. Using some water far mining instead of farming won't affect other water users. The same amount of water will be available to other users as in the past. Will vve affect Rito Seco Creek" No! There will be no damaee or depletion to Rito Seco Creek. Why are we going to the Colorado Water Court and the Colorado state engineer with our water plans' Some water now being used for farts irtigation on the Columbian ranch will be used for minine, so we are adding a new use under Colorado water law. We are going to the water court and the state engineer for approval and review to ensure no damaee to any other users. The Farm's historical "consumptive use" can be used for minine. We have used records on what crops have been grown and how much water has been pumped to calculate the amount. (Con- sumptive use is water consumed by the crops or lost to the air between the sprinklers and the ground.) How will our plans affect the farm" Some farts land will be idled. But when we finish with our water nghts a[ the mine. we plan to return the water to aericultural use. Farm land not used will be planted with dry land grasses to conserve the soil. The rest of the farm will continue to operate as it has in the past. Using water at the San Luis Project will create 90 vear-round jobs for seven or eight years -plus 100 construction jobs this year. Two or three seasonal jobs will be lost on the (arm where the water has been used to grow wheat. How are our water plans proceeding'? We expect linal approval of our plans by the water court later this year. ~a~ ~~;s ~~3;~~t Feedback This is the [htrd issue of the Sant Luis Project 13ews. We at Battle Mountain Gold have pub- lished this newsletter W shaze information on the San Luis Project. So tar, we have covered topics we know to be of interest and importance to Costilla County. And we plan to continue doing so in the future -with your help. That is why we are latmch- ing San Luis Project Feedback as a way for you to get involved directly in our effotu to commu- nicate to you about the project. We would welcome your comments and questions about the San Luis Project. Address them to Gary Dodson, General Superin- tendent, San Luis Project, P.O. Box 310, San Luis, CG, 81152. Please include your [tame and how you can be reached, either by mail or by phone, to allow us to respond to you personally if required We hope you will take ad- vantage of San Luis Project Feedback. We are proud of the San Luis Project', and we enwur- age you to take advantage of our "Open dOOr." We welcome your interest in our business, and we are delighted ro share information with you. San Luis Project Battle Mountain Gald Company P.O. Box 310 San Luis, Colorado 81 IS'_ Qil tG,¢un IN'JII. fall ti.{ ti POSTAL CUSTOMER