rebalancing the dj aig commodity index, page-23

re: drilling results melba flats out The market out there is confused- what does this announcement mean?

The answer is more early production. We dont know how much, the beards dont know yet, so the full implications are not known.

The nickel is high grade. So putting it through Avebury processing plant means spare capacity will yield high value results. Spare capacity? Yes there will be spare capacity. They will be mining higher grade ores first, so will have to process less to get the required 9000 tonnes annually.

Melba flats is right on the railway terminal. Why not ship ore to Helleyer Mill by train, and process it! Its not an option at Avebury, further away, double handling from mine truck to road truck to train. At Melba mine truck loads train! But Helleyer mill is standing idle and its got lots of capacity!

All good stuff, no we are not doubling mine capacity, but the icing could be quite thick!