Just thought it worth posting an update based on the current...

Just thought it worth posting an update based on the current strong commodity prices. Gold Silver and Copper prices inparticular are looking very positive for the Phillips River Project. The project is moving slowly towards BFS MarkII with the current drilling program.

Although confidence in total resource still needs beefing up to higher levels of JORC standards the insitu valuation for this project is still a reasonable assessment. It is possibly a relatively straightforward mining project apart from the processing aspects of the deeper Trilogy sulfides. However even this is being resolved very favourably. Capital costs are likely to be considerably less than $100 million because of existing infrastructure.

Here are some figures.

Trilogy (just stated as a resource dissection) current drilling to upgrade to JORC standards.

Gold 135,000 oz (A$141m) Silver 7,937,000 oz (A$177m) Copper 57,000 tonnes (A$488m) Lead 120,000 tonnes (A$392m)
Zinc 67,000 tonnes (A$184m)

Total Trilogy A$1.38 BILLION

Kundip (JORC Measured / Indicated / Inferred) current drilling program to shift confidence levels of inferred to Indicated etc.

Gold 519,000 oz (A$544m) Copper 18,500 tonnes (A$158m)

Total Kundip $702Million

TOTAL PHILLIPS RIVER A$2.08 BILLION

Current drilling program is likely to add to and increase confidence levels in existing resource.

Insitu resource does not mean much if it is a difficult mining project but Phillips River is not in that category. It is in Western Australia in an area with excellent infrastructure and mining will not be complex or costly.

The recent Melbourne presentation gives a conservative insite into the current timeline for the project.