Ann: Quarterly Activities Report, page-11

From Ann 21/06/17

 Technically sound and financially viable project generating A$7.6 million undiscounted free cash flow in less than a year based on A$1,500/oz  Total cost of production A$1,086/oz  Every A$100/oz rise in the gold price over A$1,500/oz generates extra A$2 million cash flow  Open pit ore reserve of 146,000 tonnes @ 4.62g/t Au for 21,700 contained ounces  Project based on a single pit to 80m depth using conventional mining techniques and toll treating  Mining on schedule to commence third quarter 2016  Feasibility study commenced on underground extension

From the latest Ann

➢ 84,367 tonnes of ore processed at an average head grade of 3.09g/t Au ➢ 7,837 ounces recovered ➢ Grade increasing with depth ➢ Grade control confirms high grade gold ore in the bottom 25m of the pit

13863 oz remaining in the open pit , from 61633 tonnes of ore, @1500au/oz is $20.7945M

This produces an average grade of 3.76g/t ... not taking into account the 'gold in circuit' at Burbanks which is an unknown as far as i can tell..?...grade control drilling of the last 25m of the open pit seems to indicate more consistent, higher grades than initially thought so this should improve the averages

With average gold price received to date above $1600au and gold currently up over $1700au thats considerably more cash than initially budgeted to cover the over-budget transport costs/Burbanks debacle

Higher grade ore from deeper in the pit is stockpiled at Lakewood ..25kt..early feb scheduled processing

AISC to significantly reduce now that we are in the 'sweet zone' of the open pit

Burbanks 'gold in circuit' still to be recovered and used to pay Bluecap

Underground Final Feesability Study

still holding

disc; purely my opinion ...dont know much about much..calcs rough figures. DYOR

ADDS