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• <br /> <br /> <br />the VLF and external storage pond) is typically dry, indicating that there is no <br />indirect discharge to surface water from the VLF. The VLF is operated as a zero- <br />discharge facility, and review of engineering reports and operating records <br />indicates that this operating target has been met throughout the life of the CC&V <br />operation. <br />The key objectives of the model are to maintain an optimum water balance which <br />maximizes gold extraction, minimizes water use, avoids discharge situations, <br />optimizes cyanide use, and maintains sufficient volumes in the internal/external <br />pumping systems so the pumps do not cavitate. The model is reviewed daily by <br />the Metallurgical Group and twice a week in an inter-group meeting involving <br />Metallurgical, Process Operations, and Environmental Resources staff. Meeting <br />summary notes are kept; action items are established with assignments and <br />schedules. <br />SOPs have been established for the continuous optimization of the water balance; <br />procedures require routine precipitation measurement, recording, and input to <br />the probabilistic model and related control strategies. SOPs define methods for <br />actively moving water between the six major operating areas of the VLF to <br />maintain in-heap "freeboard", which is monitored on an hourly basis. At any <br />point in time, the operator has instantaneous data available for the area under <br />leach and associated flows. Four primary phases are further broken down into <br />six areas and a number of sub-units. Makeup or excess volumes are recorded to <br />enable cross-system solution transfers and modifications to application rates, or <br />new ore additions. <br />Downgradient monitoring provisions include low level and high volume <br />indicators; the Leak Detection, Collection, and Recovery System (LDCRS); a <br />transducer network; and several other redundant cross-checks. Routine <br />monitoring and maintenance inspections are also performed daily by the <br />Metallurgical, Process Operations and Environmental Resources Group <br />personnel. <br />The water balance considers the following inputs/criteria: <br />• Solutions are applied to six major areas on the VLF; these six areas are <br />further subdivided and individually monitored. <br />Cresson Project <br />Name of Mine <br />~--~' <br />Signature of Lead Auditor <br />10 September 2007 <br />Date <br />Page 14 of 41 <br />