Allied Nevada Gold Corp ANV

RE: Net Income of $34.1 Million ($0.41/Share)

[ElJ]

A few brief observations on the year-end 2010 results as filed on SEDAR :

- Ore grade was significantly lower(Gold grade 0.012 Oz. per ton and Silver grade at 0.099 per ton) than during the earlier part of the year .......... "as the mine worked through a planned stripping phase in connection with the implementation of the accelerated oxide mining rate. The result was lower grades compounded by more waste tons being mined."  These grades compare with 0.023 oz. per ton in Q1 for Gold;  0.024 for Gold in Q2;  and 0.016 for Gold in Q3, 2010 ....and for Silver 0.357 oz. per ton in Q1;   0.290 in Q2   and  0.024 for Silver in Q3, 2010.

- Q4, 2010 Gold sold was 21,899 oz. and was significantly below both Q3 or Q2, 2010 in a full year 2010 total of 102,483 oz. sold.

- Silver sold in Q4, 2010 was 54,081 oz. and the  full year silver sold was 238, 242 oz.

- Cost of Sales per Gold oz. sold has progressively risen from $387 in Q1, 2010;  $408 in Q2;  $416 in Q3  ; and $462 in Q4, 2010.

- Earnings per share fully diluted at
.41 for the full year 2010  can be anticipated to increase very significantly if/when the planned production level of 260,000 oz.(Guidance)  is achieved in late 2012 or 2013, based on a milling process for which the Company began working on an initial feasibility study and expects to issue its plans in the third quarter of 2011........ Clearly at current share price($31.60 close on March 8, 2011) a considerable price premium in anticipation of increased production is already built into the current share price as well as some anticipation of future commodity prices,

Peace,
Good Decision-making to All,
ElJ