32,411 ounces per year

Just Cononish
Almost half of our resource is now in the Measured and Indicated category with an average grade of 13.1g/t Au and 53g/t Ag or a Gold equivalent of 14g/t for 196,000 Tonnes
We still have 264,600 Tonnes in the Inferred category with an average grade of 10.2g/t Au and 34.9g/t Ag.
If the remaining Inferred resource is as good as that recently drilled we might well have 306,936 Tonnes ( +16% Tonnage ) with a gold equivalent of 14g/t . This combined with the Indicated and Measured resource would give a resource of 226,402 gold equivalent ounces from 502,936 Tonnes.

From RNS 14/11/2012
Scotgold Note: Incorporating the grade range, the Inferred Mineral Resource is estimated to lie between 85,000 oz Au and 127,000 oz Au. It should be noted that any upside may not exist or it may only be present in a portion of the resource.

The Inferred resource is currently 86,600 ounces.

The Cononish Project Development Study ( 17/04/2011 ) uses figures of 10.2g/t Au and 37.1g/t Ag.
I don’t expect the updated study to use 13.1g/t Au and 53 g/t Ag but the fact is this is just under half our resource, So at least half of the resource mined will be at a Gold equivalent of 14g/t.
We will be mining 72,000 Tonnes a year and at 14g/t that will be 32,411 ounces and at 2.2 Tonnes per ounce we will be a lot more profitable than the study at 2.9 Tonnes per ounce Gold equivalent.
We already have low costs of £360 per ounce based on 10.2g/t Au and 37.1g/t Ag, which includes a contingency allowance of 16%, at 13.1g/t Au and 53g/t Ag that cost would reduce to £278 per ounce with the 16% contingency allowance.

The recently upgraded resource blocks will be among the first to be mined and at 14g/t Gold equivalent this will greatly reduce our payback time, little wonder Chris Sangster ( CEO ) is quoted as saying in Minesite:
The capital markets are not easy at the moment, but Chris is fairly upbeat about the prospects for Cononish. “At the moment there seems to be an appetite for a project such as ours. It’s significantly cash generative”, Minesite 29/11/2012

Figures have been rounded to the nearest decimal point or £
100% recovery and not the 93% Au and 90% Ag from study
Base case costs used