no better time to buy?, page-32

Georgetown,

From the recent announcements in regards to production, ABM has stated:
'2013+'
'with view trial mining'
'Potential near term production'

That is as definitive as the production plans are at this stage. Focus is on understanding the 'scale of the system' In some previous posts I have stated that ABM needs a clear timeline to production, as lack of this I believe is what is holding ABM back. Are they really serious about production or do they want a T/O by Newmont?

The stage one scoping study results were very good as Chuk reiterates every day. Coarse gold means only a cheap modular gravity circuit required to extract the majority of the gold instead of a high cost CIL plant. Look at AZM ann yesterday for comparison with ABU start up costs.

With the ore being at surface means no sterilisation of *new* ore (below, east, south, west, north) if they mined that stage one pit tomorrow, then scaled up on new mine plans. They should have already completed infill drilling of the stage one pit by now, so it can be upgraded to an Indicated resource, a full feasbility completed and a Reserve generated. Assay turnaround has probably slowed this progress though in my opinion.

Therefore ABM really should already be in a position to inform the market along the lines of this:
1) New upgraded resource, feasibility completed, reserves for the first time early Q3 2012.
2) Approvals for stage one mining submitted early Q3 2012.
3)Approvals granted late Q3 2012.
4) Mining contracts sorted Q4 2012.
5) Site setup Q1 2013.
6) Mining of stage one pit commences Q2 2013, expected to generate $257M cashflow over 2 years.

However, at this stage the market has not seen this detail and drive towards very early production.