Ann: RC drilling confirms high-grade gold north of Mulga Bill, page-27

Hi all, it has been written here that MEK has found money to start a mill and start an open pit mine.I studied MEK's DFS there is a nuance that the first year they dig small pits, and then they need to go into the development of the old Andy well mine and it is quite expensive, for the whole project period almost 200 million will be spent on this (the quarry would be 2 cheaper at least, I think the real figures are 3-4 times).Also the cost of ore extraction in a mine is 3.6 times higher than in an open pit. So it seems that buying for 50-60mn GBR would be a good deal for MEK and avoid the risk and costs of the mine and build up reserves for future years.Mine DFS grades 3-4 grams per ton, open pit GBR 2-3 grams per ton.The question is similarity of metallurgy, it seems to me since the deposits are close by it is likely to be similar.Translated with DeepL.com (free version)