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To: Claude Cormier who wrote (333)10/26/2001 10:14:12 AM
From: russwinter  Respond to of 39344
 
Claude if you go to the "properties" page at the NGT site, note this below: "Salamandra property review". There is also another separate report tucked away on Sedar.

<66% versus 70% recovery rates>

The difference between the old 66% and the anticipated 70% recoveries might be significant if they were using PDG's old 43.5 MT @ 1.59 g study ($11/t versus $10/t). They aren't using that, but instead the smaller 11.5 MT @ 3.16g Estrella zone. If the old 66% sticks, we are talking the difference between $21/t versus $20/t, so it's not really going to matter.



To: Claude Cormier who wrote (333)10/26/2001 10:57:47 AM
From: Claude Cormier  Read Replies (1) | Respond to of 39344
 
<could support 120,000 oz at a cash cost of $90, and a capex of $35-50, >

I can't see that CAPEX of $35-$50.. they mentioned $90M after the new redesign and optimization. Not sure this would provide a decent IRR at current gold price.