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C~ <br />BATTLE MOUNTAIN GOLD <br />PA N Y ___ <br />.August 22, 1996 <br />Mr. Charlie Jaquez, Jr. <br />President <br />Costilla County Committee for Environmental Soundness <br />P.O. Bax 9 <br />San Luis, Colorado 81 152 <br />Subject: Battle Mountain Resources. Inc. ("BMRI") <br />Satt Luis Mine <br />Dear Mr..laquez: <br />~~ <br />44tILE MOUNWN <br />SOLD COMPANY <br />This letter is in response to the fourteen questions posed in a June 27, 1996 letter addressed to Karl <br />Elers. ~'~~e hope that some of these questions ++'ere answered in a meeting held at BMRI's im iuuion <br />in its Denver office on June 27, 1996. Ho+vever, as promised, +ve are forwarding this ~~ritten <br />response in an effort to maintain an open line of communication regarding the issues raised in ~ our <br />letter. It is our view that most if no[ all of the questions raised in your letter reflect issues +vhirh are <br />addressed in detail in the pern7it for the facility issued by the Colorado Mined Land Reclam:uion <br />Board. As noted in our meeting, +ve would suggest that interested parties carefully re~~iew the lcrms <br />of the approved permit along with all of the monitoring data and other information which has been <br />submitted in conjunction with the construction and operation of the facility to ensue an intixmed <br />and consu uctive exchange of ideas in the future. All references to [he Approved Pem3it include the <br />original permit documents as well as all approved amendments, revisions and other information <br />submitted to [he Division of Minerals and Geology ("DMG") under the permit. These materials are <br />a matter of public record and can be reviewed at the DMG's office, 1313 Sherman Street, SUIh 315, <br />Denver. Colorado; Contact Jim Dillie. <br />In an effort to facilitate your review of the letter. each question set forth in the lever is rescued, <br />followed by B~4RI's response. <br />Question I) What guarantee do we have that the tailings dam will not collapse? <br />The tailings embankment is not designed as a dam structure (i.e. to hold back +aater) but <br />rather is designed to safely contain the tailings solids while allowing them to drain and <br />consolidate to a mass of dense, soil like material. The design of [he tailings disposal laci lity <br />is tidly described and analyzed in Section D.6 of the approved permit for the facility. <br />Section D.6.8 fully addresses embankment stability. The results of stability an:11~•ses <br />performed on the approved desi~,n indicate that the embattktnent will be sable un~lrr all <br />loading couditions analyzed both during normal conditions and under severe earthquake <br />conditions. In all cases, the factors of safety meet or exceed the U.S. Army Corps of <br />L'ngineers minimum factors of safeq~ tier earth and rock till embankments. Folll~~~-up <br />• <br />P.O. BOX JIO SAN LUIS, CO 81152-0310 (719)672-3362 EXT. J9 FAX (719) 672-3767 <br />