New Positive Results - Share Price Dies, page-5

Up 100% in month will always pull in punters chasing momentum. Buy first ask questions later, but have no idea what they've actually bought or whether it's expensive or cheap.

With a $37m market cap today, less cash of around $5m, $32m is not much for what looks like a high-grade resource. Keep in mind there are only 55m shares on issue.

I look at it this way. 10% lead and 1.5% zinc works out to be roughly A$380 of metal per tonne of rock. Of course some grades were higher than that, but just sticking with round numbers for the moment.

Of that A$380/t deduct recovery losses and payability from the smelter and you're at around $310/t of recoverable, payable metal.

Underground mining is say $75/t, processing ($30) admin ($10) and transport ($20/t ore) = $135/t

= a margin of $175/t or 56%

and I've missed the silver.

worth a punt I think.