Great news today. It took a while to read and re-read and calculate while watching the market react. RBC Direct Investing dropped the ball again in posting the news. Thanks for MES announcing it this am.

Here's how 2012 compares to 2011. Increases across the board.

Schaft Creek

(Paramount + Main)Paramount

Cu lbs16.23%19.20%

Mo lbs18.70%29.71%

Au Oz25.95%29.33%

Ag OzN/A 1.54 gpt N/A 1.65 gpt 2012

in 2012

Tonnes (M+I)21.46%22.48%

The increases in metal is pretty much the same as the increase in tonnage. So overall grades are pretty close between 2011 and 12. So, while the pounds in the ground have greatly increased, the economics are somewhat the same for each tonne.

Elmer dropped the cutoff to 0.15% which is interesting. I take that as a positive as they were able to justify (to themselves) this lower cutoff as economic cutoff. In other words, the 0.20% cuttoff last year was too conservative.

Using Teck type prices (i.e can the mine make money even at low metal prices) of $2.50 Cu, $11.32 Moly, $1000 Au, and $18.24 Ag to compare the two RE's...

Our mine is worth another $4.0 B in situ in 2012.

Using 3yr average prices (per Tck agreement) $3.55 cu, $14.00 Moly, $1365 Au, and $26.06 Ag ...our mine is worth $5.54B more in situ than in 2011.

glta