HM will produce 2.2 million in 2001. Uses 300 POG for reserves. These are year end 00 numbers. Exploration in 2000 was $38 million, but was cut to $24 million for 2001. The more robust budget for 2000 allowed HM to largely replace it's Aussie reserves. With the cutback?
The Good:
Kalgoorie: 390K @ c.c 200, long life
Darlot: 125K @ cc 155, to 2011
Marigold: 25k @ cc 210, 15 years
Veladero: 3.3Au and 48.7 (0.8 gold eq) Ag
The Bad and the Ugly:
Ruby Hill: 120K @ cc 108, depletes next year, on going exploration has found nothing economical.
Homestake 170K is depleted
McLaughlin 116K @ cc 100, depleted next year
Eskay Creek 310K @ cc 50, great mine but burning through reserves, 2.1 million left takes them to 2006.
Hemlo 633k @ cc 210, Burn, baby, burn, 2.4 million, hits the wall in 2003.
Round Mountain 400k @ 175 depleted 2006.
Lawlers 100K @ cc 210, only 378K reserve, has been able to replace, but what's with the exploration budget?
Plutonic 225K @ 190, 1.25 million reserve, to 2006 at best?
Hard to see what the ABX masterplan is, other than a scavenger hunt. Is adding four million from HM's Veledero to the 30 million ABX already has a big deal? This is like taking Grandma to the senior prom, cause HM is old and DEPLETED! You can sure understand why HM is checking out though. Only about a fourth of HM production survives another half decade. |
