Replies to post #3894 on UNICO INCORPORATED (AZ) (fka UNCO)

[GOLDENBOLLOX]

To loadedgun on Unico

I understand that Unico have had limited processing capabilities for the past four years. This is on old machinery and run with generators and the capacity is around 20 tons. Whilst it is good that they can process for testing purposes it would not be economical long term.

The new mill and processing facility will be capable of 200 tons per day has cheaper and cleaner power and will have better recovery rates because the machinery is brand new. This will be economical.

Deer Trail Mine
Unico, Inc. mined a small amount of ore in 2003 from its Deer Trail property in Piute
County, south of Marysvale. During the early part of the year, Unico began mining the high-
grade mantos in the 3400 East orebody, but mining was curtailed pending upgrading the mill
circuits to produce a cleaner, more salable concentrate. In mid-year, Unico began sampling and
evaluating the dumps and tailings from the oxidized, gold-rich Upper (old) Deer Trail adit. The
Upper Deer Trail adit dumps contain approximately 22,700 to 27,200 mt (25,000 to 30,000 st) of
material. Based on a 907-mt (1000-st) composite sample, these dumps average 5.1 g/mt (0.15
oz/st) gold and 171 g/mt (5.0 oz/st) silver. Screen tests indicate that the grade can be
substantially improved by screening. The property also contains 167,000 mt (184,000 st) of mill
tailings that average 1.4g/mt (0.04 oz/st) gold and 103 g/mt (3.0 oz/st) silver. The company
hopes to process up to 4500 mt (5000 st) or more of dump material per year once the mill
rehabilitation is completed. In 2004, Unico plans to develop the 3400 orebodies in the PTH
tunnel and sample and evaluate the Upper Deer Trail adit for additional ore pockets.