Grade of gold appears to be per press release .02 and silver 1.77. If silver $35, gold $1600, last projected operating costs $150 per ton, and 95% recovery, silver and gold by product costs.
Looking at kitco.com will give current base metal prices, but I think lead $1 a pound and copper $3.66 per pound. If copper estimate some 20 million pounds, it quickly becomes apparent main revenue per ton would come from copper.
If 350 tons per day, question arises how many days would it produce per year and when could mill start. However their 2009 powerpoint stated would be a year before mining could commence, so we are back for this year (a) costs and timing to meet permit conditions (b) what are terms of $9 million orders to have any thought of what 4th quarter could be like. For 2014 surely working capital and CAPEX needed to develop ore to the point where production could commence.
Since company claims study showed it could be potentially economic, there must have been an assumption on operating costs per ton, recovery percentage, etc.No one would hold management accountantable for variations over the next year, but certainly if they are releasing grades and tonnage, and previously released operating cosst per ton, why not update now ?
AI
