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<p>[QUOTE=&quot;yakpoo, post: 1286079, member: 18157&quot;]A while back, I read where the average rate of silver extraction was about 14 ounces of silver per metric ton of ore. I would think it costs more than $42 (14 x $3) to process a metric ton of ore.</p><p><br /></p><p>I went looking for some reference to back up my previous notions and found the <b><a href="http://www.silverbearresources.com/s/NewsReleases.asp?ReportID=482392&amp;_Type=News-Releases&amp;_Title=Silver-Bear-Completes-Positive-Economic-Study-on-its-Mangazeisky-Silver-Pro..." target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.silverbearresources.com/s/NewsReleases.asp?ReportID=482392&amp;_Type=News-Releases&amp;_Title=Silver-Bear-Completes-Positive-Economic-Study-on-its-Mangazeisky-Silver-Pro..." rel="nofollow">Silver Bear Resources, Inc Preliminary Economic Analysis (<span style="color: #ff0000">PEA</span>) for the Canadian company&#039;s Vertikalny deposit which is part&nbsp; of Silver Bear&#039;s Mangazeisky exploration lease in Yakutia, Russia</a></b>.&nbsp; </p><p><br /></p><p><b>The <span style="color: #ff0000">PEA </span>estimates...</b></p><p><br /></p><p><br /></p><p><br /></p><p><b>...at a cost of...</b></p><p><b><br /></b></p><p>&nbsp; </p><p><br /></p><p><b>...based on...</b></p><p><br /></p><p><br /></p><p><br /></p><p><br /></p><p>The reference you provide, the <a href="http://www.hecla-mining.com/operations/" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.hecla-mining.com/operations/" rel="nofollow"><b>Hecla Mining </b><b>Company</b></a>, reports average extraction rates of...</p><p><br /></p><p>Lucky Friday Mine: 10.27 Oz/tonne</p><p>Greens Creek Mine: 15.45 Oz/tonne</p><p><br /></p><p>Obviously there are costs involved with the extraction and refinement of the ore, but Hecla Mining Co. has an odd way of reporting it. From 2008 to 2010, they report falling Silver costs of production from <b>POSITIVE </b>$4.20/Oz to <b>NEGATIVE </b>$1.46/oz. </p><p><br /></p><p><b>HOWEVER (comma) </b>these numbers add in &quot;By-Product Credits&quot;. In other words, they subtract the profit they make from the <b>68,000+ ounces of gold </b>(produced as a by-product) from their overall silver production costs. That makes these numbers and &quot;Apples-to-Oranges&quot; comparison to other mining production figures.</p><p><br /></p><p>The Hecla Mining Co. legal disclaimer <b>&quot;</b><b>reconciliation of cash costs&nbsp; per ounce&quot;</b> can be found <span style="color: #ff0000"><b><a href="http://www.hecla-mining.com/legal/" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.hecla-mining.com/legal/" rel="nofollow">here</a></b></span>.</p><p><br /></p><p><br /></p><p><br /></p><p><b>Nice try, though! </b>:cheers:</p><p><br /></p><p><br /></p><p><br /></p><p><br /></p><p><br /></p><p><br /></p><p><br /></p><p>[TABLE=&quot;width: 8&quot;]</p><p>[TR]</p><p>[TD][/TD]</p><p>[/TR]</p><p>[/TABLE][/QUOTE]</p><p><br /></p>

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