Conclusions On The News Release

If you so happen to add up 1.7 and 4.4 millions of tonnes of ore, you get over six million tonnes of ore to be processed.

@500tpd, this means enough ore to last 25 years of production. So how did we manage to get from a resource calculation that was basically the size of a bulk sample to 25 years of near-surface available ore for production so suddenly?

Of course, this does not include the Rhyolite contacts with ore pipes and the EP Zone, or that Komis will become an underground mine eventually.

We've had an 'EP' done on us, where production is clearly being curtailed. They aught to be snowboarding this winter on the ore stockpile near the mill it's getting so massive, and have to install a ski-lift. The EP Zone is still in production, according to the Operating Mines List, which you would have believed abandoned by now had you been drinking the kool-aid.

Why on earth would you bother with low grade ore below the cut-off grade? A giveaway may be the timing of Q2 fiscal 2013 results, set to occur on the 21st Dec., the last trading day before the close of the financial year for everyone else.

Hopefully the specific timing here will tie off conflicts of interest in equity swaps, which I think the company is exposed to. Banks will be providing leverage to their customers in vendor financing to buy equity swap contracts, using 100% leverage to buy them. No wonder corporate balance sheets look so great in a zero growth, zero interest rate regime.

You would have made quick, aggressive gains in derivatives selling gold mining shares you did not first own, and had no intention to buy back, and then betting those gains on treasury futures. This is not the way to position or invest yourself, to assume a massive bias against hard assets, when all you have in your back pocket are obligations to someone else.

-F6