Ann: Operational Update, page-27

They have again reiterated guidance of 80k ounces this 12 month period.

All in all.....based on actual production, so far - I am inclined to believe them.

However all of a sudden, it is not an issue of gold produced - but rather the cost of production.

I agree - the reduction in cash is not explained and unsurprisingly questioned by investors. 9042 ozs in July August was NOT a disaster, and should not have meant that nett cash burn. There are some ONE off costs maybe that are involved in optimizing production - but seemingly not to that level of expenditure.

I have emailed them. Those costs could not possibly have been incurred in straight out gold production - I say that based on their cash flow report from the June quarter (and industry costs)

Maybe there is some explanation - like one off outrageously expensive consultancy, on going drilling - I really don't know, but we need that cost to be one off type cash outflows....

Yea I think they will do the 80k though - so investors just have to wait it out.

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Stripping ratios are usually always higher at the commencement of pit development...... therefore lower grade through the mill,........gold in ore will improve, as the better grade is mined. JORC grade would be correct and they will soon get to he higher grades.