Sitting in the right location

摘要

Deep Yellow Ltd is joining the producer ranks, with mining starting at its Mikado project near Laverton in Western Australia during March and the first gold due later in the month. The operation will provide revenues of 18 million dollars and is expected to generate an after tax cash flow of about 6 million dollars at gold prices of 525 dollars /oz. "Mikado is a great example of why gold is a good business to be in and the goldfields of WA is the best location for exploration and production," Deep Yellow managing director Dr Alistair Cowden said. "For a modest 400,000 dollars in capital Investment we can generate a profit of about 6 million dollars for shareholders.