As noted in the MD&A, the Company's major objectives and activities for the balance of 2013 and 2014 include the following:
- Optimization Study The Company expects to complete a project design and capital spending optimization study in Q1 2014. The study will review various components of the Feasibility Study to determine if there are opportunities to improve project designs and operational plans to significantly lower initial capital costs below the $382 million originally contemplated in the Feasibility Study.
- Project Development Activities The Company will continue to work with its consultants and applicable government ministries to ensure the timely review and approval of various items including the EIA Permit, IIC, and mining licenses. In Q4 2013, the Company expects to complete the Environmental and Social Impact Assessment ("ESIA") in accordance with international standards, which may facilitate access to international lenders and other financing. In 2014, the Company is planning various project development activities, which include addressing recommendations by RPA, certain detailed design engineering and additions to the owner's team as the Company ramps up to build and operate Yenipazar. The extent and timing of the project development activities may be adjusted subject to available funds that result from its financing initiatives.
- Financing Initiatives A key objective of 2014 is to secure financing to achieve project advancement objectives in 2014 and to build the Yenipazar Project. The Company's financing targets, which may be subject to capital market conditions and the completion of certain permitting and other project development milestones, may include the following: I. Interim Financing in Q2 - To finance project advancement until project financing is secured; II. Land Acquisition Financing in Q2 - To acquire land on the project site; III. Project Financing in Q4 - To finance the Yenipazar Project development.
- Exploration The Company may conduct exploration activities including geophysical surveys and a drill program in areas adjacent to the known resource where three mineralized outcrops were identified. This is to include a drill program to substantiate a clay resource at surface, overlying the Yenipazar deposit. The clay is needed as tailings facility liner material and for the tailings dam.