Ann: Exploration Update, page-30

Lol @ logging on to trash talk 2 or 3 companies each day, whatever helps you sleep at night i guess


Agree it is worth noting that Gold, Copper and Cobalt prices are significantly higher than in 1991 and 2009 during previous mining and drilling, as is the USD/AUD rate more in favor compared to 2009 (1:1/1:.75)....AUD gold currently sitting at $1600..

Go back through a few old QMN quarterlies etc you can find some handy information which makes this look like another mining operation that is undervalued with current prices of a combination of base metals making economical value significantly greater.....maybe not the the value of AUZ magnitude but with more drilling to come there is certain significant upside to increase the resources.

2009 Quarterly on QMN.

Gilded Rose Gold Mine and Plant (MLs) The engineering assessment for the recommencement of gold production at the Gilded Rose Plant has been completed. It is proposed that the plant will commence gold production within four months at an annual throughput rate of 200,000 tonne per annum at an average recovery grade of 4g/t to produce 25,000ounce of gold per annum. The Gilded Rose net operating cash flow should be approximately $15million based on a gold price of AUD$1,000 per ounce and cost of production is estimated at AUD $400 per ounce.

Mt Freda Gold Mine and Plant (MLs) 1. A scoping study including mine design, engineering and processing has commenced. The company has developed a drilling program of 11holes combining RC and diamond totalling 2660m to target the immediate down dip extension of the known ore body with a target resource increase of 100,000 ounces and it is anticipated that the grade will increase. The drilling program is required before final capital and operational expenditure can be determined as well as finalising the processing facility that is required. 2. The Mt Freda operation with its current resource and infrastructure in place excluding the processing facility is based on 40,000ounce per annum at a grade of 6.13g/t and shows a net operating cash flow of $20million based on a gold price of AUD$1,000 per ounce and operational costs of around AUD$500 per ounce.

Finally rounding off that even if they did need to raise some cash, you can see this easily getting to 10c anyway...$5m at 10c is only another 50m shares...not a great deal of dilution anyway...should results be really good..it could also be higher given the fact that 70% of shares are held by the top 20 shareholders.