is higher grade copper coming .., page-2

I have only held TMR for 5 weeks. I bought on the assumption that the high mining costs in Chile could be reduced. I assumed that when TMR stopped buying in low grade ore and when the higher grade ore would be recovered from the deeper levels, then the costs would go down.

Previous announcements were forecasting costs reducing to US$1.30/lb by the end of 2008. There was no mention of this $1.30 target in the March quarterly. There was only mention that based on the new resource model, the ore grade should increase and costs should reduce. The new resource model is still littered with low grade ore at depth. If the new resource model is accurate and the if new stopes hit the high grade areas and not the low grades, then costs should reduce.

Unexpected low grades have been one of the causes of the current high costs and I am not confident that these unexpected low grades are behind us. The March quarterly rehashed a lot of old news, but they didn't rehash the target cost of $1.30/lb. Why was this omitted? There may well be some good news to come about Arco Iris's resources, but at a current recovery cost of US$2.39/lb, this is expensive copper.

I am fortunate to be able to have sold without a loss. I will continue to watch TMR with interest. Good luck to the true believers