RW: You have very high grades at your “south of the river” discovery, Media Luna. When you add that to the high grades you’ve got in the feasibility study, how big could Morelos become?
FS: I think it can become very large. Some of the analysts are now starting to come out with potential numbers. If you look at what Ron Stewart of Dundee Capital put out today, and if he’s looking at just south of the river, he has his best case at 37.9 million equivalent ounces, counting the gold, copper and silver. The mid-outcome case is 26.9 million, and if you took a really pessimistic case, he’s at 6.8 million. So if you add that on top of the slightly over 5 million that we have to the north, this can become a very big project.
FS: Our stock has held up nicely through a difficult market in the last six to eight months. Now that the major financing risk is behind us, I think the market will now have an opportunity to focus on the discovery to the south of the river. I think there is a lot of value that could be assigned once people become more aware of what’s there.
RW: Final question: how aggressive will you be in exploring Morelos in the next couple of years?
FS: We have nine drills turning now in the Media Luna and Media Luna West areas. We plan to spend about $30 million a year over the next few years. We expect to add a lot of value there, so we can get the next mine ready to build after we get this first one up and into production.