Excellent analysis as always Argoz but I would suggest using the raw tails metals value at about 25% of the values you used as they are lower than the finished gold pyrite con. This should still reflect a very nice monthly revenue stream. The tonnage available of partially processed tails would be closer to 90,000 tonnes, your figure of 35,000 tonnes represents the amount of gold pyrite con after processing in the sulphide mill which will not now occur due to the excellent recoveries (55% versus 50% by using the sulphide mill) from blending in the oxide mill. These changes to your formula would significantly extend the number of production days but lower the daily return.
The company also has about 14,000 tonnes of finished unroasted gold pyrite con in inventory to feed the roaster.
When analysing the present production plan modifications based on the recent press release I would expect the following approximate monthly revenue stream based on very conservative metrics of $930 gold (75% recovery) and $14.50 silver (50% recovery).
500 tpd averaging 3 gpt gold + 120 gpt silver = $1,000,000
35 tpd of roasted gold pyrite con supplement = $1,000,000
400 tpd of a tailings blend (33%/66% as per press release) = $700,000
A fourth revenue stream could now be starting the sulphide mill processing sulphides full time producing at a rate of 330 tpd with a saleable lead con and zinc con plus 50 tpd of gold pyrite con. This would be a fourth revenue stream.
A fifth revenue stream could be the tails treatment process from the oxide mill as referenced in a recent press release.
A sixth revenue stream could be starting the small 75 tpd mill now idle.
Apply a total operating cost (everything all in) of $1.2 million per month and the picture looks pretty good going forward. I would expect September to start reflecting these changes and getting better for a few months as everyhting is fully implimented. This is a sustainebale conservative plan going forward and in my view the company is way ahead of what anyone could have ever expected for 6 months of work with the new mill and processes and mine stope development. In my experience this is about twice as fast as industry standard and people just need some patience.
