Southridge Enterprises Inc (SRGE)

[MoMoRaptor]

More exciting tidbits from the mathers research report

Mill Production Plan & Ore Stockpiles
According to the 2007 report, Behre Dolbear performed a physical review of the waste dumps and stockpiles and provided estimates for both tonnage and grade of the ore. The estimated Au grades of the waste dump range from 6.19g/t to 0.51 g/t and Ag grades range from 119g/t to 383g/t. According to the Company, the mill requires minimal capital investment to be put back into operation. Though the 60 tpd mill is still in good condition, it does require much needed maintenance and some additional equipment before it can be put back into full operation. The Company reports that they are currently preparing a mill maintenance schedule and have engaged a number of potential investment partners to complete this important milestone. With both gold and silver prices trading well above historical levels, even moderate production at Cinco Minas would generate significant revenues. Given the current market capitalization for SRGE, there is a reasonable expectation that this will have a positive effect on the share price of the Company. We view the MPP as a substantial development for SRGE.

On September 6, 2011, Southridge Enterprises announced the initiation of their Mill Production Plan (MPP) for the Cinco Minas processing facility. As stated earlier in the report, there is a modern 60 tpd mill currently on the Cinco Minas Property, which is expandable to 500 tpd. There is also an estimated 35,000 tonnes of waste dump stockpiled ore ready to be processed on the property. Initial operation of the mill will focus on processing the stockpiled ore on the property to generate immediate revenue. In 2007, Behre Dolbear, an internationally respected mining consultancy firm with offices in Mexico, issued a report on the ore stockpiles located at Cinco Minas and the processing mill. The report recommended that short-term production focus on putting the 60 tpd mill back into operation, processing ore at a rate of 1,500 tons per month. Behre Dolbear notes that at this rate of production, there would be a two year supply of stockpiled ore and wastedumps to feed the mill.