Sigma REsThe last RE by MICON in June 2011 showed 586,000 M&! ounces and 1,853,000 inferred ounces. This was an approximate 2/3rds reduction from previous REs and was IMO worst case.
MICON also presented estimated CAPEX to get to the ounces down to 1,800 meters. Total CAPEX was $128 million U.S. ($170 million Canadian). Broken out:
New Sigma Shaft $50 million
Underground Dev $36 million
Equipment $ 5 million
Utilities $ 3 million
Backfill Plant & Mill $12 million
Dewatering $3.5 million
Other $1,5 million
Contingency $16 million
Probably just a very rough guess but a starting point.
IMO, the company's decision to expand the Sigma study down to 1,800 meters is based on initial LD results. Why would you spend the money to expand the study if LD showed nothing? You're not going to spend $170 million CAPEX to get 2.2 million ounces ($78 per ounce CAPEX). My guess is the company believes that at least 3 million ounces can be projected from the study - mostly inferred - but still there. If they believe there's another 3 million coming from LD drilling then you can get a rough guess of the CAPEX per ounce. CAPEX down to 2,500 meters is probably $220 million Canadian. Dividing $220 million by 6 million ounces gives $37 CAPEX per ounce. There's a reason the SP went up last week. IMO it's related to LD.