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LKA International Inc. <br />Golden Wonder/ Level 6/ Hydrologic Setting Executive Summary <br />obtained from deep alluvium formations. The water quality from these wells was more <br />closely comparable to the toe seep water quality, yet could not entirely explain the water <br />quality or quantity observed in the toe seeps. Further analysis from solids information <br />gathered from the analysis of geologic formation samples (rhyolite, alluvium and waste <br />rock) provided the evidence that the formations are capable of yielding water with water <br />quality characteristics observed in the toe seeps. Furthermore, the physical lines of <br />evidence presented for each flow pathway folded into a cumulative weight of evidence <br />conclusion that identifies the presence of a groundwater resource associated with the <br />geologic formations that must be the predominant source to the waste rock toe seeps. It <br />would be physically impossible to achieve the flows observed at the waste rock toe seeps <br />in 2008 (-200 gpm) without having a significant source of water other than Deadman <br />Gulch and the Golden Wonder Mine. <br />IV