Alio Gold Inc. T.ALO

Torex Blockade

[auburn2]

Jamie Spratt

Great and then I guess just on the social side of things obviously the Torex blockade highlight some of the - obviously it's a union issue, but some other potential social issues in the district. So, I guess my question is, can you discuss where you guys are from a community outreach stand point.

Greg McCunn

Yeah, and I do think that you made an important point there Jamie. From what we understand which is the same information you have. There is clearly a union dispute that is underway at Torex's L-G operation, which is not far from our project as you know. Obviously, we are a long ways from having union relations issues at this stage being very, very early in the construction, but these are different in community relation struggles which I think is a very important to note and in Guerrero. That is something we have to pay a lot of attention to day in and day out which we do. We have a very strong social license to operate in the local community of which is located about 8 kilometers to the east of our project site and situation in the ground there is very quiet and busy drilling and operations are proceeding as normal, but it's something that we are spending a lot of time this year. We are spending a lot of time and money really ramping up our social program. We are hiring people, we are building a team and we are basically transitioning from a very strong social license to do exploration work to the ability to be able to have the social license to build the mine starting towards the middle of next year.

We'll see if ALO goes up if/when TXG resolves the blockade. Management is surprised by the share price performance. It wasn't a great quarter, but I really think this has something to do with TXG.

[auburn2]

Stock slammed for 2000 ounces short? Makes little sense to me: "You see the difficulty here in operating a single asset business, in reality we produce probably about 2000 ounces less than we expected in this year and ends up being - ends up hitting your stock rather substantially"

[kkkrrr]

the stock is down because 2  things .. first: Torex (short lived) , second: too slow stripping in Q3 wich will lead to an not so good Q4 .. but this should be short lived too because the issues already are resolved...    2018 and 2019 will be much better ...    :