I've been looking at the history of Mt Leyshon and on 27th June...

I've been looking at the history of Mt Leyshon and on 27th June 2012 the Company made the following statement:

The ball mill scats (12-15 million tonnes) contained approx 100,000 ozs of gold and should yield an operating surplus of $25 million with gold at $780 oz.

Thus they were going to get $250 for each ounce of gold.

They also stated that the venture wasn't viable (extraction/processing of the ball mill scats due to the capital costs involved. The capital costs were not included in the operating surplus figure.

However gold is now $1250 and given the pain in the industry, costs should be no more than in mid 2012 and maybe even less.

Thus the difference in the gold price ($1250-$780 = $470) should go straight to the bottom line and our $25 million now becomes $74 million.

Now, I'm not an expert in this field and if my sums don't add up then please correct me.
I'm in the UK, so it's difficult to talk to experts in this field.
But if any of you have contacts or feel inclined to contact a few processing companies to get an angle on the figures then please do so and let the forum know the results.
$78 million is a lot of gold and about 30 cents a share.
And don't forget this is the lowest estimate of ore in the scats. The higher figure quoted by Leyshon is 170,000 ozs.