reserves, i am not so concerned now.

Morning all,

I have to say that even I (a complete fml tragic bull) have at times had a slight niggle about our reserves - you know, just the middle of the night worry stuff.
I have always treated fml, especially since 3 mile commissioning as a solid investment - far far from a speck.

However, after yesterday's announcement, I don't think I really care much about reserves (the actual figures) - I think these sites are going to just keep producing - I feel that we will for a long time will have enough of our own dirt to keep the mill going as hard as it can go.

It seems to me that we have too many areas of dirt that are open in many if not all directions to be much of a risk at all - the gold god's would have to really be set against us for the dance to stop. And on that note the stars do seem to be set in place so far for fml - AND the story is getting better by the month - touch wood.

The way I see (more feel it) it is that if we keep going at this rate, we are going to need another mill within a short period of time.

I think if we handle this as we have done sofar, with our eye on cash flow/no debt etc - a pretty conservative operation really - and stay away from risky bits (nickel imo) then we are going to get a very solid medium sized company.

Personally I don't really care about the sp if this thing is going to be a cash cow like it certainly seems at the moment.
That being said, if we are producing 100k oz p/a or near that and the pog is even halfway reasonable - i doubt if the sp can stay anywhere near where it is - the dam will burst sooner or later.

After all, the cash has to go somewhere - and from what I see sofar from management decisions - they seem to keep things in what seems like balance to me - ie. they don't have half of the country tied up - just plenty of prime real estate matched to a mill capacity that is just right at the moment.

I am quizzical as to what the sp will be when we are producing 200k oz p/a on a clearly profitable basis - interesting company - and a juicy target. Get rid of the cash boys, quick, before the sharks get the scent.


It is going to be a very interesting 12 months.

Have a great day Pinto