DFS Reserve, page-8

Thanks Roy. To be clear the 15g/t was my estimate, the PFS used just 10.3g/t Ag.. so it might be sub $5/t depending on grade but I think $5/t is about right.

If you took $5 off the PFS C1 cost per tonne you get $25/t break even, add in 10% losses and 5% royalty to break even would be $29/t... this is a 0.44% cutoff at US$3/lb ($6,600/t)

I hope there’s some cost reductions as they’ve refined the model (coarser ore for example) but my feeling is that they would be flat at best and thus the cutoff around 0.4% (might be lower as some of the mining costs may be prestrip and capitalised). It does emphasise the importance of grade and tonnage and the upcoming reserve... then once the pit is define the UG resource and UG scoping study..