Orsu Metals Corp V.OSU.H

OSU Projections-Omni

[amarksp]

Omni, could you give me your comments on these projections please...

It has been so long since OSU has offered cost guidance that I am having to rely upon old presentations and other sources.  Any comments would be appreciated...

EPM Cash Flow	Last 4 Mo	1Q 2009	Full Yr 2009
Tonnes Mined		5,500,000	22,000,000
Treatment Tonnes	980,000	1,050,000	4,200,000
LGCF Gold Oz		20,930	83,719
HGCF Gold Oz		14,373	57,491
Total Gold Oz	29,000	35,303	141,210
Copper lbs.	3,500,000	7,500,000	30,000,000
Gold Oz Equivalent @ $710	46,059	66,993	267,971
POG (50% hedge @ $574)	$710.00	$710.00	$710.00
POC	$3.00	$3.00	$3.00
Gold Revenue	20,590,000	25,064,775	100,259,100
Copper Revenue	10,500,000	22,500,000	90,000,000
Total Revenue	31,090,000	47,564,775	190,259,100
Cash Cost Per Tonne +20%	$21.60	$21.60	$21.60
Mine Cash Costs	21,168,000	22,680,000	90,720,000
G&A Cash Costs +100%	2,000,000	2,100,000	8,400,000
Gold Royalty @ 1.2%/$715	392,425	574,797	2,299,187
Copper Royalty @ 1%	105,000	225,000	900,000
Total Cash Costs	23,665,425	25,579,797	102,319,187
Operating Cash Margin	7,424,575	21,984,978	87,939,913
Shares	457,000,000	457,000,000	457,000,000
CFPS Annualized	$0.05	$0.19	$0.19
Cash Cost Per Gold Eq Oz Prod	$459.58	$338.54	$338.54
Share Price	$0.22	$0.22	$0.22
Share Price/Cash Flow	4.5	1.1	1.1

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Assumptions:
980,000 Tonnes for Last 4 Months 2008 = 4.2M/3 to covert for 4 months * 70% capacity average
1Q09 is optimistic given that it is winter and OSU is still ramping up

50% of Production Hedged @ $575 & 50% @ $845 Market = $710 POG

Mine Cost Per Tonne = $18 Per Tonne per 2007 Denver Gold Presentation + 20%=$21.60

G&A Costs = $2 Per Tonne (Per 2007 Denver Gold Presentation)

G&A Costs hopefully cover Exploration Expense for 2008