convertable debenture, page-12

The following is from the "Review of Operations" from last year's Annual Report:

"Engenho Gold Project

Key Statistics

Gold Price US$640
Exchange Rate 79 cents
Cash Cost per Ounce A$345
Cash Cost per Ounce US$272
Production Cost per Ounce A$477
Production Cost per Ounce US$378"

We currently have a gold price at around US890 and an exchange rate at around 69.7 cents. If it stays like this then I would suggest that when MUN starts mining the main orebody in coming months, assuming everything is as expected, that Engenho could be a cash flow bonanza.

After full production costs there could be something like AUD750 or even much higher clear profits per ounce.