disappointing, page-53

Serial underperformer AAM has similar problems with their grade. A review of data severely downgraded both their grade and size of resource. At least we have had some gain in PIR's resource size.

http://www.asx.com.au/asxpdf/20110406/pdf/41xwjcnt0267z0.pdf

The CEO is going to look silly whenever he gives his presentations at conferences. People will keep asking him about the 3-4 gram/tonne resource he was claiming for PIR.

It will take a while for the share price to recover, but more good drill results will eventually improve things a lot.

The resource base of 14.656 million tonnes is at 1.76 grams/tonne for a total resource of 827,471 ounces (80% of which belongs to PIR). If the average grade had been at 3 grams/tonne then the resource would be 1.413 million ounces while a grade of 4 grams/tonne would have resulted in a resource of 1.884 million. Just imagine what the share price would have done today if the grade had come in within the targeted bounds.

Oh Fekola, will you give us the extra 600K to 1,000k ounces we need to right the downgrade of the other ore body? Perhaps we will be lucky and they will prove up a lot more ounces this year.

loki (Praying to the Gods of Fekola for many more gold ounces)