Ann: McPhillamys Gold Project Definitive Feasibility Study Update, page-29

This Update on the DFS shows to me that the company actually is trying to keep investors fully informed. That is the cost to build such a mine nowadays and the AISC is realistic, even if a bit on the high side for an open cut mine in todays cost environment. The NPV and IRR isnt stated because what period do you want the NPV to start? There would be management calculations, but these would be completely outdated by the time the first bar is poured. These conservative figures released today show that the operations are in the hands of actual miners and not spruikers. That gives me comfort.

If you want to work out some NPV for the project, work out what discount rate you would be happy with, the margin (say $1690 as at today) the 2 million oz over 11 years less the start up costs. Then you can adjust it as the POG moves. Also remember the 2 million oz is just the starting point and more oz are likely to be uncovered as mining progresses.