"They, (AUL) has stated that staff, and admin/corp costs for this qtr is $1.1 mill"
Yes and a portion of those staffing costs are for boots on the ground doing the production which you are not accounting for.
"biggest concern is that it doesn't look they will process enough high grades"
Based off a similar mining operation down the road the grade to be above to be profitable is 4.5g/t, based off the geologists knowledge and experience and the go ahead for mining their modelling suggests that they are high enough.
"$1.1 mill, plus cost of production = $$???"
As addressed above its not plus.
"So what grades will they need to process, just to break even?"
As addressed above.
"Are they going to do their own mining or use contractors?"
I presume a mixture of both where appropriate.
"Unfortunately the more I look t them, the more inconsistencies, ambiguities and evasiveness I'm finding."
The fact that you are not reading announcements correctly, shows you are making incorrect assumptions on non-facts.
"Biggest fans of this stock, appear to be those that have been in (this stock alone), and aren't willing to accept that things aren't going too well."
Things are going very well, moest detractors said they wouldn't find a reef like McNally's they were proved wrong and now they are going into production because of that fact.
"I was under the impression that production was going to start already, and would have expected an exuberant Ann. saying just that, but no, nothing"
If you read announcements correctly you would see that they gave a timeline for production preparations and commencement.