Cononish Project

Project status

cononish-1

View of Cononish Mine showing (right to left) stockpiled or, plant buildings and adit.

Current Activities:

cononish-2

Ore being loaded into processing plant as part of BPT

The Bulk Processing Trial is continuing and the conclusions drawn from this will be used to both optimize the final process plant design and to assess the potential for a revised development plant which include a phased production build up and lower peak funding requirement.

Resources

Classification K tonnes Grade AU

g/t

Metal AU

Koz

Grade Ag

g/t

Metal Ag

Koz

Measured – In-situ 60 15.0 29 71.5 139
Indicated – In-situ 474 14.3 217 58.7 895
Indicated – Mined Stockpile 7 7.9 2 39.0 9
Sub-total M & I 541 14.3 248 59.9 1,043
Inferred – In-situ 75 7.4 18 21.9 53
Total MRE 617 13.4 266 55.3 1,096

Reported from 3D block model with grades estimated by Ordinary Kriging with 15 m SMU Local Uniform Conditioning adjustment. Minimum vein width is 1.2m. Totals may not appear to add up due to appropriate rounding

Note: MRE prepared by CSA Global (UK) Ltd in accordance with JORC 2012 – see AIM release: 22/01/2015 – Resource Estimate Update

cononish-3

Long section through Cononish vein coloured by MRE classification

Ore Reserves

Classification K tonnes Grade AU

g/t

Metal AU

Koz

Grade Ag

g/t

Metal Ag

Koz

Proven 65 11.5 24 51.5 108
Probable 490 11.1 174 47.2 743
Total 555 11.1 198 47.7 851

 

(Bara Consulting Limited – Ore Reserve Statement dated May 2015)

(Estimate based upon JORC 2012 reporting rules, Gold price US$1,100/oz, Silver price US$15/oz and Exchange rate 1.6 US$/£.)

cononish-4

Schematic of Full Mine Development Plan