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BATTLE MOUNTAIN RESOURCES, INC. <br />61v <br />July 08, 2010 <br />Mr. Allen Sorensen RECEIVED <br />State of Colorado <br />Division of Reclamation, Mining and Safety <br />JUL 2 2010 <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 Division of Reclamation, <br /> Mining 8 Safety <br />Re: Battle Mountain Resources Inc. <br />San Luis Project <br />CMLRB Permit No. M-88-112 <br />,,/June 2010 Monthly Report <br />Dear Mr. Sorensen: <br />The following summarizes monitoring and site activities at the Battle Mountain Resources Inc. (BMRI), <br />San Luis Project for the month of June, 2010. <br />Surface and ground water monitoring and analysis were completed for all required sites during the month <br />per the terms and conditions of the TR-32 Quality Assurance and Quality Control (QA/QC) plan. <br />Vacuum on the tailing lysimeters was verified on June 30th, no water was present for sampling and <br />subsequent analysis. <br />Depths to water were collected for the tailing impoundment main embankment piezometers and the West <br />Pit monitoring wells on June 30th. June tailing impoundment piezometer measurements identified these <br />installations were either dry or contained less than 12 inches of water as illustrated in Table 2. Tables 1 <br />and 2 below identify the depth to water measurements collected for each of the site monitoring wells, <br />piezometers and lysimeters as required by the terms and conditions of the TR-32 QA/QC plan. <br />The leak detection system was measured on June 30'h. A total of 690 gallons of water was excavated from <br />the leak detection system yielding a monthly average of 20.29 gpad. The tailings pond under-drain <br />measured 22 gpm. <br />During March the West Pit water treatment plant operated efficiently discharging a total of 8,319,000 <br />gallons (25.53 acre-feet) of water to Rito Seco Creek and a total of 1,009,300 gallons (3.10 acre-feet) of <br />water was transferred from the water treatment plant to the tailings impoundment. Seepage along Rito <br />Seco Creek remained dry during the month. <br />P.O. Box 310 - San Luis, Colorado 81152-0310 - (719) 379-0798 - Fax (719) 379-0713