Ann: Update on Potential Acquisition of Coolgardie Gold Project, page-4

I popped over to the FML discussions and pinched this fron their post... fingers cross that this deal goes through in 3 months time.

FML did not resume operations at Coolgardieafter obtaining a feasibility study that suggested an annual output of 40,000oz.Before the mothballing, FML was producing 170,000 oz pa. My estimate is thatthey will resume operations at 100,000 oz pa and I get that from operating aplant with 1.4 million tonnes per annum (mtpa) capacity at just over 1 mtpawith an average grade of at least 3 gms per tonne. I note that the AISC beforemothballing was around $1,200 and I assume the same figure when operationsresume because they will be surface operations, not underground. With the goldprice now above $1,900 that gives a margin on $700 per oz.So 100,000 oz willyield $70 million pa.