fairfax analyst hit the nail on the head, page-2

A few other interesting facts from Richard Schodde at the New Generations Gold Conference

1. The discovery cost in Australia now ranks at $76/oz for 2000-2009....which is near 8 times more than what AMX are quoting for Koncera ($10/oz). Now playing with the numbers (and it really depends on how people calculate a discovery cost, but lets assume it is the total cost expensed to discover and delineate an inferred Jorc Resource, divided by the JORC resource ounce)...for a 3 m oz resource this would indicate a differential of $198 m which is a substantial difference...and there is the time difference implicit...time is money...shareholder value.....

2. Average grade of discovery world wide is now 1.8 gpt Au for 2000-2009...

3. Average size of a tier 1 and 2 primary gold discovery is about 4.4 M ozs...when is the next resource announcement...how far above 3 m ozs will it be...

The short of it all is that deposits the size of Koncera, and indeed the Batie Project are becoming rare beasts...

Supply is not increasing...Central Banks are buying...so are large companies...

Just a few thoughts...