Increasing Production Predictions All this talk about 500tpd and beyond is not exactly true at this time.
Until they announce some additional equipment there is no way to haul 500tpd out of that mine. Notice I am calling the development ramp a mine.
Theoretically it could happen if the stars align and the current fleet operates 24/7. not likely
the 200 tpd can be achieved and will produce enough revenue to keep moving forward. the grades there are high. With the proper grade control they will only be milling the veins and minium low grade.
So the actual ore milled will be in the specactual range. 7 - 25 gpt. I haven't seen any reports about what their current cutoff is but it appears they are mining narrow high grade veins that can pay.
Ontario and quebec have been doing it successfully for decades.
200 tpd X 15gpt is 64 million USD/yr
So there has to be some free cash flow there to advance. 18m left for equipment to increase production.
How much is the loan costing ?
the cost of production should be relatively low, they own the equipment and labor is not unreal.
For the moment if they can come up with a positive cash flow they will be doing great. And proving the theory. This should eliminate future dillution and prove the vialiby of this mine. Hopefully managment and wally have similar objectives.
The market doesn't like a small profitable operation but I do. And so do the figians.
One last thought, some of the management here are spending there prime years working on this project. Either they are looking to go out with a bang or are getting a nice retirement villa ready.