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Message: What is an SGR share woth today?

All of the new potential mines you have mentioned will not really add any production to the projections up to 2012. They will however, make it much easier to meet and keep those targets by having multiple mines and stopes for the miners to develope and work. The best thing about all the new mines is that they are all considered high grade, and with the availability of more and more high grade ore, the lower grades can be left for the next generation of hard rock miners. The Hinge ore(after the developement ore was finished) produced upwards of .77 ounces per ton. So far L13 and Cohiba are slightly less, however could easily be up around half an ounce per ton. At the current milling rate of 1250tpd by 2012 they should be able to make the 200,000 ounces per year. If they can bring on some higher grade from say the 007 at an ounce per ton and can blend that into the mix 250,000 onces per year is a possibility.

The real story here as I see it is the mine will soon be cash possitive. They are debt free and should have enough future income from the current operations to fund all exploration and future expantion plans. A mill upgrade to 1900 tons would cost next to nothing and will give them 300,000 plus ounces. All of the new discovereries are near surface and ramp accessed so turning them into a mine will also cost next to nothing. By 2011 SGR should have close to $100,000,000 in the bank. We are about to become a self sustaining money machine and if nobody takes us over we will keep growing and eventually be another Goldcorp. $50.00 per share by 2016 assuming gold stays at current levels and we have no more inflation.lol

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