Comparing the pre-mine Probable Ore Reserve of 730,000 tonnes at 2.66 g/t for 62,000 ounces with the above yield of 49,694 indicates a high precision of mine operation for such a geologically complex ore body. If we add the 150,000 tonnes of low grade on the ROM pad the reconciliation is even closer. From drilling we knew the stacked ladder vein quartz lodes varied in thickness both down dip and along strike. Even with close spaced grade control drill holes the modelling of the deposit is difficult. 

Additionally the stockpiling of about 150,000 tonnes of low grade on the ROM pad offered the possibility of subsequent treatment at higher gold prices. Consequently in the December quarter last year a study was made of this dump material, using close spaced drill holes. Although variable much of the deeper sulphide ore, the last material mined, was estimated to grade 1.2-1.5 g/t. At the then rising gold price of around $2,500 per ounce a decision was taken to negotiate a toll processing of an initial 50,000t parcel through the Lakewood mill, owned by Golden Mile Milling , in Kalgoorlie. Also a haulage contract was negotiated with a Kalgoorlie based trucking company. Due to mill availability the parcel was modified to an initial 27,000t parcel which was successfully processed confirming the recovered grade at the upper limit of estimates at 1.49g/t.. The balance of this parcel of about 23,000 t will be processed by mid quarter 2022. 

Final reconciliation of Gold in Circuit, a standard for all toll milling, is in process and should be completed by mid- March. Following gold sales an analysis of the operation covering all costs will be undertaken and reported. At the current gold price of over $2,600 per ounce this has clearly been profitable. Consideration is now being given for the processing of a further 50,000 t low grade from the stockpile, however at these high gold prices it will likely prove profitable. A decision on this will be made after a full analysis of the initial 50,000 t parcel has been completed.