where will the sp go from here ?, page-8

"With SLR's All in Sustaining Costs at Mount Monger at $1016 for the 6 months ending 31st. December, SLR is now making plenty of money."

The $1016 is not its all in sustaining costs. It is its all in sustaining cash costs (AISCC). There can be a significant difference between the two.

Here is a link to SLR's resource/reserves

http://www.silverlakeresources.com.au/projects/resources

The reserve ore grade of its underground operation at Mr Monger is 6.2 g/t. There is significantly higher grade ore in the resource category but that may fall once actual upgrading to reserve status is undertaken or they mine the stuff without exploration. A fair bit of the higher grade resource is in the inferred category, so how trustworthy is this.

Most of the deposits are smallish which I assume will require a lot more capital expenditure than your normal underground bulk mining operations. Also the ore bodies in the planned open pits at Mt Monger are pretty small, which I assume means higher development cost per ounce of gold.

Bottomline is that while AISCC may appear to be OK in the current gold price, a lot of the EBITDA will be required for future mine development and exploration to keep the Mt Monger dream going. I have no idea how much actual real free cash flow will eventuate (rather than often fictitious accounting profits). Unfortunately SLR now has a proven track record of getting its mining cost estimates badly wrong.

Toot, toot. $1.00 here we come as the POG heads towards USD1400, maybe.

loki (yeah - I am not a believer for I have seen the light, and it looks like it could be an oncoming train. Bless the Lord - for I am still alive in the crazy goldieworld dreamland.