Ann: More wide gold zones intercepted at Ternera, page-10

Not a problem and just to elaborate further on the Mets.

• At a 200 Micron grind size, we are seeing 94% extraction after 8 hours
• Typically, most other explorers' deposits Mets require 24-40 hours of extraction time to achieve 92%+ extraction and this is especially the case where ore is in oxidized zones.
• The significance of having really fast extraction and high recoveries is that we are able to run a much smaller & cheaper processing circuit that is still able to recover circa 100koz p.a. This will equate to cost savings on Labour, plant, materials and consumables (everything that makes up AISC).
• Fast Extraction helps boost cashflow.
• Proposing a simple flow sheet with Single Stage Crushing and Sag Mil (No Ball Mill - which is more power intensive). Pretty much all explorers require both and some in WA require an added Pressure Oxidation component in their processing circuit.
• Probably won't need a mine camp at El Zorro because skilled workforce are at nearby towns which can be bused in.
• There currently is no other explorer on the ASX that has better Mets then us. Cost of Mining is the most important aspect for a mining operation because it is the only thing that the company can control and manage. No one can manage the gold price.