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±- is, <br />HOMI `SWALIF E <br />Grants NM Office <br />December 20, 2010 <br />Mr. Bob Oswald <br />Colorado Department of Natural Resources <br />Division of Minerals and Geology <br />691 CR 233, Suite A-2 <br />Durango, CO 81301 <br />JAMkift and 111111111111111111V <br />N 0 3 72010 Alan D. Cox <br />Manager - Pitch <br />RE: HOMESTAKE PITCH RECLAMATION PROJECT <br />2010 ANNUAL GEOTECHNICAL REPORT (M-1977-0041) <br />Dear Mr. Oswald: <br />Attached you will find the 2010 Geotechnical Report for the waste rock management areas at the <br />Homestake Pitch Reclamation Project. The history of the rock dumps has been provided in <br />previous annual reports and is not repeated in this discussion. The waste rock dumps were <br />inspected monthly in 2010, except when winter conditions prohibited access, in accordance with <br />the recommended monitoring program. A site map with piezometer locations is provided as <br />Figure 1. Detailed analysis and presentation of the 2010 data from all piezometers are provided in <br />the following pages. <br />The visual inspections conducted in 2010 indicate stable conditions for the Indian Creek and Tie <br />Camp waste rock dumps. As you recall, the project lost its site manager, Vern Kelso, to a snow <br />mobile accident in March of 2010. Vern s death was a tremendous loss to all, and set back the <br />monitoring program until a new site manager, Dale Davis, was hired in May. Dale had a steep <br />learning curve at the site, but by mid-year he understood the site conditions and was taking care of <br />the property. As a result of Vern's death, the water level measurements in the rock dump <br />piezometers were not documented until May. Historically, the water levels in the piezometers <br />show little fluctuations during the winter months. <br />Once again in 2010, a few of the piezometers became plugged with silt and required flushing with <br />high pressure water to get the probe down to the water. Each piezometer behaves differently and <br />their flushing requires experience to be successful. The water levels in the rock dump piezometers <br />in 2010 continued to show normal seasonal fluctuations when the silt was not an issue. The 2010 <br />water level measurements are provided on Table 1 of the attached report. A chart showing the <br />2010 data is also provided as Figure 2 and a chart with piezometers water levels monitoring since <br />1996 provided as Figure 3. The Y-axis on these plots is labeled as depth to water from ground <br />surface. Note that prior to October 2001, data was not obtained from Piezometer IC10600 due to <br />the presence of a gravel obstruction that blocked the passage of the piezometer. Additionally, in <br />2007, the local elk herd destroyed the stand-pipe casing in Piezometer IC 10370 and consequently <br />caused the upper part of the borehole soil to collapse into the piezometer casing. This resulted in <br />approximately six feet of rock debris being introduced into the bottom of the piezometer, <br />rendering it non-functional until the fall of 2009 when the obstruction was cleared from the bottom <br />of the casing by high pressure flushing. This allowed us to remedy that problem and to begin using <br />the Piezometer IC10370 as part of the monitoring system with measurements taken the last three <br />months of the 2009 and eight months of 2010. Piezometer IC10300 was also flushed in 2009 to <br />Homestake Mining Company of California P.O. Box 98, Grants, NM 87020 <br />Tele: (505) 287-4456 ? FAX: (505) 287-9289 <br />