Tommy2tone... you are right, 2011 was about optimizing the starter pit potential and exploring Paramount. Paramount was too big to finish defining last year - nice problem. I don't think a lot changed in terms of finding really good grades at shallow depths in either Paramount or Liard beyond what was defined previously.

I understood the 'demeanor in Elmer's voice which suggested there is little hurry to drill like crazy' to mean that there is little incentive to keep drilling at the Paramount and Main zones to keep adding pounds when the same drilling effort could be directed at adding/proving whole new mineralized zones.

I also got that from his response to Webgog's questions. New found minerals 600m down are not as good as new found minerals in a new zone at shallower depths. Discounting that deep stuff (NPV) means that there is less bang for each $1 spent drilling. A lot less bang when compared to proving a new mineralized zone has mining potential (good grades and depths).

For example. $500,000,000 net income from mining is worth $462,962,963 when discounted 8% for one year. That same $500M of income is only worth $49,688,666 when discounted for 30 years at 8%. In a NPV context, the metal at the bottom of the mine extracted 30 years after startup is worth about 10% of that to us today.

So, do you want to keep pumbing the depths of Schaft or do you want to prove a whole new SC sized zone with mining potential?

In the 2008 PFS, there are 5 starter pits. The first pit (P611) opens up in Liard, in the region of 2011 DDH 419. This area is good for starter since the grades are better than average, very close to the surface and don't require a lot of surface preparation due to the relatively gentle terrain.

Paramount also had a starter pit in the 2008 PFS but it opened up towards the end of the first 5 years. Part of that 'delay' could be that some of the slope of above the Paramount starting area needed to be cut and benched to stabilize it before digging deeply below that slope.

This image comes out of the PFS and shows the mine at the end of year 5 of operation. Pit P611 is the first pit and takes out much of the top of Liard/Main. DDH 419 is very roughly located near the last "1" in the label "P611".

Pit "P631" is generally located in the Paramount zone and encompassed the northern extent of the 2011 drilling in Paramount. Therefore little change to our starting pit scenarios.