The important thing for me is that FML is not losing money. FML...

The important thing for me is that FML is not losing money. FML is making money all be it, less than some had hoped for in the short term.

FML is making a profit.
FML expects production to increase through improved grade.
Toll treating to be completed this quarter hence significant increase in production next quarter.
Massive exploration potential.
Did I mention FML is still profitable.

Personally for me, the fact that FML is still making a profit removes a large degree of risk with this stock. It's just a matter of time until we see improved production and solid exploration results hence it's just a matter of time before we see a significant bounce in the share price.

While this toll milling may seem like a bit of a set back, it means FML can stockpile ore and work on capital development of their mines without significant impact to gold poured. Which means the Dec quarter should be a cracker.

Any investors out there that are concerned we could be at the peak of a gold bubble should have a read if "The Redback Report" week ending 20/8/10 that can be found on the XJO forum. Current FML production costs could become insignificant.

Happy to hold.