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"BATTLE MOUNTAIN RESOURCES, INC. <br />June 10, 2008 <br />Mr. Allen Sorensen <br />State of Colorado <br />Division of Minerals and Geology <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />Re: Battle Mountain Resources Inc. <br />San Luis Project <br />CMLRB Permit No. M-88-112 <br />May 2008 Monthly Report <br />Dear Mr. Sorensen: <br />SUN ? ? ?.00? <br />01 ,<ecla'matlonpivistK? ping and Safety <br />The following summarizes monitoring and site activities at the Battle Mountain Resources Inc. <br />(BMRI), San Luis Project for the month of May 2008. <br />Surface and ground water monitoring and analysis were completed for all required sites during <br />the month per the terms and conditions of the TR-32 Quality Assurance and Quality Control <br />(QA/QC) plan. <br />Vacuum on the tailing lysimeters was verified on May 28 h, no water was present for sampling <br />and subsequent analysis. <br />Depths to water were collected for the tailing impoundment main embankment piezometers and <br />the West Pit monitoring wells on May 31". May tailing impoundment piezometer measurements <br />identified these installations were either dry or contained less than 12 inches of water as <br />illustrated in Table 2. Tables 1 and 2 below identify the depth to water measurements collected <br />for each of the site monitoring wells, piezometers and lysimeters as required by the terms and <br />conditions of the TR-32 QA/QC plan. <br />The leak detection system was measured on May 31". A total of 830 gallons of water was <br />excavated from the leak detection system yielding a monthly average of 26.77 gpad. The tailings <br />pond under-drain measured 38 gpm. <br />During April the West Pit water treatment plant operated efficiently discharging a total of <br />8,537,400 gallons (26.20 acre-feet) of water to Rito Seco Creek and a total of 1,105,500 gallons <br />(3.39 acre-feet) of water was transferred from the water treatment plant to the tailings <br />impoundment. Seepage along Rito Seco Creek remained dry during the month. <br /> <br />P.O. Box 310 - San Luis, Colorado 81152-0310 - (719) 379-0798 - Fax (719) 379-0713 <br />Battle Mountain Resources Inc.