Ann: Grant of Mining Lease for Agate Creek Gold Project, page-39

Hi All

A calculation to consider:

A$1850/oz gold / 31gm per oz = $60/gram
3.5gm/t x $60 = $210/t

So Maroon get 100% of the first $210/t

Trucking 600km at say best case of 15 cents per tonne per km = $90/t to truck to Black Jack going on figure quoted earlier.

Almost half the value in the ore just in trucking.

Add mining cost per tonne and processing cost per tonne and all other costs less and my guess is 3.5gm only just covers costs.

Maroon will not just want to cover costs whilst taking all risks.

Maroon will want to work at highest grades as possible.

KRUM