500koz pa, page-7

Woolydog,

I think your question was more in the lines of which mills which deliver the gold won from particular resources/pits.

My opinions is as follows;

Daveyhurst is up and running and has plenty of potenial mill feed at Lady Ida, Siberia, Riverina and Mt Ida of varying hardness and grade. The mill is good for 1.2Mtpa throughput if things go right and they get a consistent blended grade of 3-4 g/t Au over the life of the operations you can see 100,000 - 130,000 oz from there each year, but it can never be sourced from just one operation (i.e there will have to be a combination of mining fleets etc to blend the ore) and the costs will never be low. It has feed for a few years and there will be some sweet spots of grade that can bump it up from time to time. Exploration success would have to be made to find higher grade material to get gold production up. This is possible.

Minjar - Good condition mill roughly equivalent to Daveyhurst. A bit concerned about that one personally as the resources are not there to support reserve conversion just yet and money has not been available to do the drilling required to bring it up. But nameplate could see an equivalent amount produced as Daveyhurst. It might be able to deliver some, but there is not several years in front of it yet. The lack of news about that one probably says it all.

Hill 50 - this one is actually scary when you look at the size of the mill (2.7Mtpa) - it is very hard to feed something that size from cut-backs, satellite pits and minor underground shows. you have the potetnial on paper to produce 250,000 oz per year given a 3 g/t Au head grade but you have to feed it. A big chunk of the resources at Hill 50 quoted are 0.9 g/t Au which is too low unless its in stockpiles. The rest will be hard won, but can do it for a few years with proper management and drilling definition.

In short, I do not understand where the 500,000 oz Au p.a is coming from if they want to make money with what there is at the momment. Its a nice target, but should not be taken as gospel. Hopefully a figure is achievable which sets achievable production with a profit margin!! If it gets to 500,000 oz Au p.a it will not be in a hurry.

There is no shame in 250,000 oz Au p.a if they make more money!!!!!!!!!!!!

In a horror market MON has not taken a bath which means there is a bounce around the corner if its got some luck and the Quarterly is not a "boney" shocker.