RED 2.99% 34.5¢ red 5 limited

Yes, the elephant in the room is "how big a processing plant do...

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    Yes, the elephant in the room is "how big a processing plant do we need" and "how are we going to pay for this plant". We have the gold in the ground, now we need to convert this to bold bullion. Up the road SAR have a 2.5 Mtpa plant at Thunderbox which they refurbished when they bought it in 2014. Last Q SAR processed 684,000 tonnes at 1.7 g/t for 37,800 oz. This would be a good size to start with, based on latest resource estimate. Of course the bigger the better. If we have the gold in the ground I'd like to see a 5 Mtpa plant on site pumping out over 200 k oz of gold pa. 
    How do we finance this? IMO the best solution would be to sell Siana. This has to much political baggage. Another issue is the lack of ore once the open pit ceases operation. One of the problems has always been a second source of ore to keep the plant at maximum capacity. Mapawa was to be a source of this ore but Philippine mining policy will probably nobble this. Finally Siana is starting to impact on cash flow with A$1.5 mil per Q leaking from the bottom line. IMO the A$6 mil pa saved on selling Siana would be better spent developing our assets in WA.
 
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