significant sulphides, page-17

looking through the original prospectus, The Stawell pant has previously successfully processed sulphide concentrates from GBM licence areas when they were held by other owners

assuming the new owners of Stawell are amenable, then the value can be extracted just a matter of the cost of toll milling versus GBM investing the capital themselves

given that other licences GBM hold have similar sulphide concentrate potential then I assume GBM will do it themselves

looking at the alluvial ISG project I see there is an inferred resource of around 70,000 ounces at 3gpt. GBM also believe that byproducts from extracing the gold at this project pay for OPEX, whcih is remarkable as it implies they can mill 3gpt for free

fascinating little gold company.

If things go to plan , once Dec 09 comes along and options are exercised they should have $20million in the bank, enough to underwrite a major capital works expansion which could take production to over 50,000 ounces a year , assuming they define sufficient resources

even being conservative and using todays gold price that implies a profit of $25million pa and a potential valuation of 10 times that, $250million or close to $2 a shares fully diluted

take the gold price up another notch to $1500 ounces long term and the potential value increase past $500million in my view or $4 a share within 3 to 4 years

the potential gains are simply the result of the massive undervaluation of the stock at present. It should be worth 3 times what it is trading at now. the same is true of the other Vic gold juniors, GDR MCO and CGT.

these companies control vast areas of one of the richest gold provinces in the world and the market couldn't care less right now!