re: Ann: September Quarterly Activities and C... Quite a very...

re: Ann: September Quarterly Activities and C...
Quite a very good QTR.

The Duckhead deposit has been a great saver.

If you look at the quarterly result they mined (& milled) a total of 93,290 tonnes at a grade of 10.1 g/t Au for 30,173 ounces. In the quarter they milled 965,595 tonnes at a grade of 1.91 g/t Au for 55,094 ounces.

If you then deduct the Duckhead 30,173 ounces from this quarterly production (55,094) it then leaves you 24,921 ounces from 872,305 tonnes through the mill. By my calculation it means that this 872,305 tonnes went through the mill at a grade of between 0.90 and 0.95 g/t Au.

The previous quarter (June) had production grades of 1.25 g/t Au. Without the Duckhead input you would probably have seen grades of less than 1.0 g/t Au and very low production - perhaps less than 30k ounces.

A lot of the production has come from low grade stockpiles.

Go forward these may be some grade issues with mining. We probably won't see this until the removal of the Duckhead production. The management have reduced debt and have cash in the bank. It will be interesting now as their guidance for the remaining 3 months indicates that production will be 65k to 75k ounces, so expect a great result for the Dec quarter which appears really to come from Duckhead itself.