Wow - been a while since I have looked at this, a small...

Wow - been a while since I have looked at this, a small in-specie distribution from PUA days. Roger Jackson and team now looking at Hill End again, stonking high grades but a lot of old infrastructure, interesting that they are going for new 3.5m x 3.5m drive development at the 640m level and a new portal as the current underground development is ridiculously small for current mining equipment. Quite a lot of work to do to regain access and do long hole open stoping but all on granted mining lease and existing plant no cyanide so will need those super high gold grades to carry the quite small and inefficient mining methods. It's not clear in the release but is part of the plan to also do an exploration drive and or drill cuddies and drill some stuff out from underground? Whatever the case - needs a decent sized access to get more modern efficient mining equipment in there and if this thing goes to depth then there could be an appreciable upgrade in mine life if they find additional ore down dip or along strike. The mill looks pretty small and old as well so its the usual "chicken and egg" restart situation about upgrading mill size and capacity needing enough ore in the mine life to justify the capital cost.

This will all cost money to do so will be interesting to see how they are going to fund it. At current gold prices, and providing they can execute the access to the stopes then this could surely make money at current gold prices. The issue will be raising capital without crippling dilution and then access to skilled people and contractors while containing costs per ounce given its such a small operation.