Ann: Quarterly Activities Report and Quarterly Cashflow Report, page-24

Hi stag11

I just re-watched the webinar on this point. The impression I gained from that was although the cut back was 85% complete they none the less had full access to the floor of the pit (Western end). The way the 1/4ly announcement was written it sounded like the higher grade ore would not be accessed until the cut back was completed by the end of March. Ramp up of ore delivered from Blue Bar will probably take most of the March 1/4 to reach full scale so it makes a big difference how WGP performs in the next 3 months.


If they have been mining the floor in January and can continue to do so throughout the March 1/4 then things are fine and they will easily meet guidance. But if they have to complete the cut back first and WGP continues to only contribute grades of ~.71g/t it makes a difference of ~3,000 ozs not produced in the March 1/4.


My updated estimate of the future head grade delivered to mill from WGP is ~.9g/t based on an improved strip ratio of 3.5 (calculated using the average historical results of .77g/t at a strip ratio of 4.1 ). On a standalone basis WGP is capable of 70,000 ozs/year. WGP + Blue Bar + Bulletin is capable of 90,000 ozs/year (WGP contribution 75% of feed at .9g/t) ... imo.