LAKE SHORE GOLD CORP 6.25 PCT DEBS T.LSG.DB

Promising cash flow

[bakersman]

LSG has been bleeding cash.However I feel this will cease in the third quarter.The following numbers can all be extracted from Tony's quarterly report for the second quarter , except for a couple of my conservative estimates.The market wants to see that LSG can generate positive cash flow and the market will reward us when we do.


                                                                                                           3rd qtr                                             4th qtr
                                                                                                            sept.30,11                                     dec.31,11


opening cash in bank                                                                  60.5million                                     55.7million

gold  sales    3rd qtr 22000oz x 1800      
                                                                                                           39.6million

                      4th qtr 24679oz x 1900                                                                                                  46.8million


cost of production;3rd qtr  22000x 700                                     15.4 million
                                  4th qtr 24679 x 650                                                                                              16million


mill expansion costs                                                                   15million                                         15million


exploration spending                                                                   14million                                          14million

 

cash in bank end of quarter                                                         55.7 million                                      57.5 million

The above would represent the start of a turnaround . INCREASE IN 2012 PRODUCTION will start to generate significant cash for LSG.

                                                                                                       

                                                                                                  LATER