my notes from agm

OK from another AGM visit.

Firstly, as promised, from BandWagon’ post (questioned in forum).
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Q. They’re talking about pouring 100K ozs as a future goal. What would the capital cost of the fixed treatment plant be at that capacity?
A. We are totally focused on the 30K oz target as a first and foremost priority. We have no costing at this stage for the 100K oz target.

Q. What are the initial head grades to the Mill?
A. We hope to have grades 4-6g/t but it depends on what we discover under the surface.

Q. Will the treatment plant be at capacity immediately or does the mining plan require removal of substantial overburden?
A. No overburden. Full Capacity from startup.

Q. Does any of the ore body modeling suggest the necessity of a decline/drive in the foreseeable future?
A. No.

Q. Are there plans to hedge any future production?
A. We have had some thoughts about hedging but nothing in terms of serious discussions. So there are no plans at this stage for hedging. Possibly if gold drops to $900< then it then it would be advisable to hedge.

Now here are some bullet notes of mine (The 1st couple are noteworthy)
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* Looks like the Gold pour will be on the 25th of December or further.

* The current delay (noted on the photo) is a 5 ½ mtr ramp needs to be built by engineers to the crusher.

* Once the ramp is built it will be a 10 day commissioning period before the 1st gold is poured.

* The plant is designed to grow to 750 Tons (ok not sure what the general measurement was but it is a good increase on what they have now?)

* Currently 40 people are on site with 25 staff from the company.

* From Beta Zone (I think) they are considering trucking high grades and Bulk Leaching lower grades as they are finding more and more gold there (oh goody).

* Mines Dept and TSF Dept have just been onsite and were happy with current state of affairs.

* Yes – Johns dream of a Super Pit “he feels” are getting closer with the discovery of high grades between the two current Pits. Noted at 6mtr deep 63g/t at 6 mtr.

* With regards to some discussion on “Grind Blends” ala BandWagon’ John suggested to me they have a very good and experienced operator on the mill who they pilfered from somewhere else. John suggested the operator would take it as a personal “failure” – (not really the right word here) if the mill was not performing at a very high rate of success. I asked what type of rock could be used with the blend and John replied most of the rock is reasonably soft.

My Comments
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John is a bit of a “Mining Geek” – that’s all he has ever done so “what you see is what you get”. IMO he is an “honest John” who really does NOT want to give away any more shares. The rest of the board was a little lay back except for the chairman and I think Johns PA (?).

This company has a good approach to growth (mainly driven by John) and I will be trying to load up on more shares for an INVESTMENT longer term.

There a lot more I can say about my feelings of the Company but probably said enough.

DISCLAIMER:
All this is my “take” and I could have misinterpreted bits and pieces. Whatever you do – do at your own risk. AND of course everybody including the Directors has the right to change their mind at any stage.

Goodluck – Still here and buying a few more.