some highlights

Some highlights from the most recent Proactive report.


The study demonstrates the potential for net cash flows of up to US$190 million by producing 40,000 gold ounces for an initial five years - with the metrics based on a conservative US$1500 per ounce gold price.


- Estimated net cash flows attributable to Indicated oxide Mineral Resource material only totals more than US$137 million over five years (EBITDA at US$1,500 gold price), with a further possible US$53 million from Inferred oxide Mineral Resource.

-The current Probable Reserve of oxide material is estimated to be 180,000 ounces over the five-year mine life with a potential of a further 40,000 ounces from currently Inferred oxide material that is contained within the pit shell.

- Production is projected to peak at 50,000 ounces of gold per annum in year 3 and average 40,000 ounces per annum for the five years of the projected mine life from the Indicated and Inferred oxides.

- More than 75,000 ounces of gold contained within sulphide material stockpiled during oxide mining is not included in the cash flow estimates.

- Cash costs are estimated at US$370 per ounce for the first four years, US$465 per ounce for life-of-mine

The potential also remains for increased throughput, increased cash flows and increased mine life by further oxide ore discoveries and future sulphide ore treatment. Stephen Ross, managing director, commented on the good news, and said:

Another major plus for Manas is when the Shambesai resource is combined with the nearby Obdilla resource, the company then has a global Indicated and Inferred Resource of 1.25 million ounces within a 4 kilometre radius.


The total discovery costs for the Shambesai resource just US$9 per ounce, with the likelihood of further gold discoveries due to the mineralised zones at the project remaining open along strike to the west and at depth.

Manas is the largest and most active gold explorer in the Kyrgyz Republic with projects located in the south of the country - and holds an extensive 4,400 square kilometre land holding.

Last month Manas received a vote of confidence from the market, with the company entering into an underwriting agreement for unexercised options valued at $10 million. Manas now has around $16 million cash on hand.

Good news all round I feel. Worries about the politcal situation seem to have been overcome and I truly beleive Manas will be a winner. The irony seems to be the political /economic fiasco in Europe has had more of a detrimental effect on SP than the percieved troubles in the Kyrgyz Republic.

Will definenitely be looking to source extra cash for this.

Cheers
Pictorella