Based on the tonnage and metal contents, the dore bar for June represented a recovered gold content of 1.97 g/tonne and recovered silver content of 52.28 g/tonne. The recovery mill rates which could be computed from the news release for May were 73.7% for the gold and 55.2% for the silver. Using these rates, the ore which was processed in June contained an average of 2.67 g/tonne Au and 94.71 g/tonne Ag. Both of these grades are below the figures in the NI43-101 for the oxide ores which are 2.95 g/tonne for the Au and 162 g/tonne for the Ag. In May the grade of the processed ore was 2.05 g/tonne Au and 104 g/tonne Ag, so the gold grades improved significantly in June, while the silver grades dropped slightly.

For the month, the dore bars contained a metal value of $681,646 using current prices. Since the mill was only run for 19 days last month, if the production is extrapulated to a full 30 day month the produced value would have been $1,076,283 and would have been a significant improvement vs May. If extrapolated to a full 365 day year, the produced metal would be $13,094,781 dollars worth.

For the 19 days the mill operated, the average processed rate was 451 tonnes/day. If the mill were to operate at this rate for a 365 day year, and the ore grades run matched the NI43-101, then at current prices, production would be $16,614,737 worth in a year. Also if/when ECU starts blending in the high grade gold pyrite, then the production value would increase significantly.

The dore bars do not go to a smelter, but go directly to a refinery. Based on ECU info I read on Sedar, the refinery fee is only about 3% and the remaining 97% of the metal value goes to ECU.