When we talk about costs for the ROF we have to look at its geographical location, lack of local infrastructure, lack of local work force, (did you guys notice how much was spent on flights in the last quarter? it was their second biggest expenditure after drilling) and the weather factor. All these are serious costs that may run into the billions of dollars.

However, when we think of those costs, we have to keep in mind that we are in a very politically stable country as has been pointed out. We have a very strong mining history in this country and a very experienced mining workforce. Hirering ex military personel is also an option. We have people with money and management experience in running multinational mining companies. Some of these individuals have a sore spot for the halowing out our country has experienced when it comes to its mining conglomerates. We keep talking about a buy out from a major but I do not believe the home grown option is off the table yet. I would love nothing better than a chance to see a new Canadian mining champion.

Going back to these costs, they will continue to become a smaller and smaller factor as we prove up more ressources. How much ressources will it take to make this project worth while? I believe a few majors are already trying to calculate this. Of course, if the government of Canada and Ontario get their act together, those costs can reduce by a fair amount. Until that commitment comes though, these mostly conservative companies will continue to put those costs at a fairly high number.

So the only answer is to continue to prove up ressources. With the financial commitments made to date and that will be made, we need to understand that they are all working on one goal. That is to turn the ROF into swiss cheese and prove up so much ressources that those costs of development will become negligible.

I believe this will happen. However, when we look at our SP stagnating, we need to realize that because of the costs of building a mine in this remote area, the smart money is still sitting on the side lines. As the tonnage and grade keep proving up, this money will pour in and the movement up will be dramatic. We continue to need to be patient.

Holding strong,

Glorieux