pog...poo, page-23

Jeff, I've done the Math and it's partly why I'm not a shareholder (as well as the perceived RAB and Lehman uncertainties which I'm now thinking aren't too bad). I believe we're on the cusp of the gold price going a lot higher and therein lies the opportunity with this company because I believe the management is excellent.

The annual report is a little confusing with respect to Mt Morgan. At one point they talk of 35-40k pa for 12 yrs and somewhere else they mention 50k pa. The key is the Phase 2 strategy. If they can metallurgically extract the copper then this may reduce cash costs considerably (just look at Newcrest). Increasing the resource base and therefore the mine life will spread the CAPEX over a longer period further reducing the total cost per oz.

Gold is already over $A 1100 so I'm becoming seriously interested in NGF especially as gold is starting to outperform oil at last.

Rowingboat.