August 11, 1999

EPA orders State to take action against water-polluting San Luis mine

The Environmental Protection Agency (EPA) has notified Battle Mountain Gold Co. (BMG) and the Colorado Water Quality Control Division that illegal discharges of pollutants into Rito Seco Creek at its mine in San Luis, Colorado, violate the Clean Water Act and must cease immediately. The notice, dated August 10 and signed by Carol Rushin, EPA‚s Assistant Regional Administrator, directs the State to „secure appropriate injunctive relief and collect an appropriate penalty‰ within 14 days of receipt of the notice.

The notice was also sent to Earth Sciences, Inc., Golden, Colo., which had conducted gold mining operations in the area before BMG and still owns land there.

In October of last year, Houston-based BMG reported that a seep had developed from the west pit of the closed mine and was flowing into Rito Seco creek. EPA inspectors found four seeps during visits to the site in June. State officials had earlier directed BMG to apply for a discharge permit by March 31. BMG did not comply and the State did not pursue the issue. BMG's initial response to the problem this summer has been an attempt to bring the water level in the pit below that of the adjacent creek. Snow guns and sprayers, have been installed and are blowing an estimated 864,000 gallons of water into the air where much of it evaporates. This evaporative process has been approved by the State Division of Minerals and Geology which recently reported that the water level in the pit has been brought down by at least 15 inches.

The Costilla County Conservancy District doubts that use of this technology is little more than cosmetic. Joe Gallegos, a district board member, is also concerned about the volume of water being wasted."They're blowing away huge amounts of a precious resource that's in short supply in this dry environment, " he said.

Both State and EPA authorities promised San Luis officials and propertyowners at meetings held in Denver on August 2, 1999, that the community‚spleas for enforcement of clean water laws against BMG would be granted.

"I can assure you that you have our attention - in a big way," said Max Dobson, EPA assistant regional administrator.

The comment came towards the end of an hour-long meeting of Dodson and several other EPA officials with representatives of the Costilla County Conservancy District, other local entities and their attorneys.

Sandy Cooper, owner of the Shalom Ranch and the nearest neighbor to the now-closed mine told Dobson, "As taxpayers, we demand that you do something about this problem before someone or something dies. We don't want another Summitville here."

BMG extracted ore at the mine, located three miles upstream from Colorado´s oldest community, during the 1990s. The company has a history of violations at the San Luis Valley mine, most involving unpermitted levels of cyanide.

Concerns about pollution seeping into Rito Seco Creek are so high, that the San Luis People's Ditch has not diverted water from the creek for irrigation this summer. San Luis People's Ditch holds the first decreed water right in Colorado and serves the state's oldest family farms.

BMG agrees that the mine's backfilled west pit has filled with water contaminated with elevated levels of sulfate, manganese and total dissolved solids and that the pollution has escaped containment and has been oozing into the Rito Seco.

But, according to Mike McGowan of the Conservancy District, the toxic soup being illegally discharged may also include calcium, fluoride, iron, chloride, potassium, silica, cadmium and copper.

"I hope steps are taken quickly," said Manuel Vigil of the San Luis water district. "Can you imagine us having to truck in drinking water?" he asked.

Roger Flynn, director of the Western Mining Action Project, cautioned authorities "not to fall for the industry's normal excuse that these problems are naturally occurring. They caused it and they're responsible."

Earlier this month, Lori Potter, the Denver attorney representing the conservancy district, drafted a letter of notice of intent to sue. Other local parties who signed on to the letter were the Town of San Luis, San Luis Water and Sanitation District, People's Alternative Energy Services, Shalom Ranch, Costilla County Committee for Environmental Soundness, Acequia Chiquita, Montes Ditch and San Luis People's Ditch.

CONTACT: Maclovio Martínez 719-672-3642

Lori Potter 303-296-9412

Roger Flynn 303-473-9618

Okanogan Highlands Alliance

PO Box 163

Tonasket, WA 98855

phone/fax 509/485-3361 / email: kliegoha@televar.com

website: http://www.televar.com/~kliegoha

"Pure water is more precious than gold!"

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