dividend yield equates to 12%, page-19

I think the market is factoring more than the current issues. There is concern in some areas of the investment community about the proposed underground mining. Current problems just reinforce those views. Certainly the underground, with planned production from a road header and paste fill and no long hole open stoping, does not look as cost effective as an expanded open pit operation.

Underground costs start to come in now in only another few years. My cash flow analysis (which is only my guess taken from publicly avaliable info) of the project is included below. Cash costs for the next few years should be great. A lot of hard work has been done. Now it is time for the Company to clarify what it is going to do going forward.

I think that if Red5 really wants to move along, it needs to release some conceptual shells around a $1,400 gold price and using the current cost structure, These results can’t be limited to avoid taking up the full lease footprint with a waste dump. It is nice to keep the land clear, but does not help the share price. Expanded open pit operations should be the base case going forward and then fantastic if something else is better.

Red5 has made comments along these lines. Just need to actually do it. I own some shares, obviously this is what I expect should / will happen.