RE: As my wife just said to me......
Do you really think cash costs are going to be higher than $900/oz?
Normally cash costs are higher in the first few months when commissioning mines fotr start up, however Q1 08 should give a good picture of profit potential and if gold stays up at this level I would find it hard to believe Moris could be loss making. EXM are expecting approx $4m a year cash from Moris.
EXM is an exploration company first, production from Moris is designed to give EXM cash to advance further exploration so that share dilution is minimised. The JV model is aimed at letting the big partners such as Hochchild and Penoles develop the resources to production.