The Gold Economy

Question-and-Answer Session

Operator

Ladies and gentlemen, we will now conduct the question-and-answer session. (Operator Instructions). Your first question today comes from Michael Curran with RBC Capital Markets. Please go ahead.

Michael Curran – RBC Capital Markets

Good morning, guys. I just had a question on unit costs at Kittila. It looks like you’ve resolved the recovery issues so I think you have the process sorted out. So of the EUR58 per ton operating costs, what percentage of that would be from the plant, the milling? Is it half, is it more than half?

Ebe Scherkus

Ebe here. The milling cost would be about

Question-and-Answer Session

Operator

(Operators Instructions). Our first question is from [Ron Paul with Canaccord Genuity]. Please go ahead.

[Ron Paul - Canaccord Genuity]

Hi everyone, could you do us an update on the Jinfeng underground ramp up in the expected time line, looks like you’re currently at 400,000 tons a year from underground, expected to increase to 600,000 tons a year in 2011 and then eventually to one million tons a year. When do you expect to reach the one million tons a year level?

Paul Wright

Well that’s really – that’s all part of the study we’re undergoing at Jinfeng right now and I

By Lara Crigger

Gold’s rise might get all the ink, but so far this year, silver, platinum and palladium have also experienced sustained rallies, driven upward on the back of economic recovery and emerging market demand. As Julian Murdoch covered earlier this week, platinum’s up 23 percent, palladium has risen 75 percent and silver recently struck its highest level in 30 years.

So how much longer can the greater precious metals rally last? For that, we turned to Philip Klapwijk, executive chairman of GFMS Ltd., an independent, U.K.-based precious metals research firm specializing in silver, platinum, palladium, and

Question-and-Answer Session

Operator

At this time, we will now begin the question-and-answer session. (Operator Instructions). Our first question comes from Luke Folta from Longbow Research. Please go ahead with your question.

Luke Folta – Longbow Research

The question I have here, firstly on your fabrication business, you had guided to further weakness from results in the first quarter. Can you just maybe talk a little bit more about what your backlogs are currently versus what they historically normally are? And then just on the competitive environment, are metal spreads actually coming down in the first quarter, are we seeing sort of stability at