Hi Reichman,according to my calculation & based on the...

Hi Reichman,

according to my calculation & based on the pre-feasability costing of KOONGIE PARK:

Assuming 1US$ = AUD$0.93

Then Zn break even point (which is the point that we make NO LOSS OR GAIN from mining it) becomes US$1.06/lb.

so at the moment zn = US$1.00/lb, so pretty much we need AUD ex rate to stay at or below $0.93 & Zn to move higher MORE THAN 6c/lb & then we have a WINNER!!!!

As for the interest rate question & it's effect on AAR, we don't have debts/loans & pretty much the only effect AAR could face from higher interest rate will be that A$ may go higher on higher interest rate & therefore our cost goes higher with it but there are many many factors that affect the currency ex rates & interst rates are only 1 factor of it.....therefore I don't see any direct relationship at all!

cheers,