Dale commented that they were obviously behind on their target of 90,000 to 100,000 oz. He said if the 007 zone comes in (I presume as planned) then they will be close, currently on a pace for 75,000 oz.

The costs of mining the Hinge zone is in line, they are working on getting the costs down in the deep mine. He commented on the 98 viens and the RL East veins at the 26 /28 levels that go up into the 007 zone. Regarding the Hinge they are mining 5 levels and pulling 550 tonnes of ore / day which is ahead of schedule. They have reached the 007 zone zone with the decline ramp (at 800ft from surface) and will be doing development in Q3.

Regarding the maximum depth of a ramp decline he said the limit is about one hour of travel by ore truck or about 400 to 450 meters from surface. Note the 007 zone has now been confirmed by drilling down to 450 meters (but still open below) He mentioned the L13 zone is at level 16 at about 2200 ft, my notes don't mention why he believed this was significant to mention, sorry.

This July they will start the bulk sample on the 007.

When asked about the long term need for a new shaft, I can't recall exactly how he worded it but it didn't seem to be needed in the near term, Hugh after the meeting privately told some of us that if they need a new shaft they could drill up from existing working which is much cheaper. If anyone can eloborate, pls do so. thanks