Page 8 By Gregory Reynolds The Expansion Project by Kirkland Gold Inc is nearing completion as 893 million of the budgeted 95 million had been spent by July 31 2013 Kirkland Lake Gold is an operating the Macassa Mine and exploration gold company located in Kirkland Lake ON in the Southern Abitibi nearly completed at KL Gold Gold Belt In 2001 the company acquired 13000 acres of fve contiguous formerly pro ducing gold mines which had histori cally produced 21 million ounces of gold grading 151 grams per ton 044 ounces per ton primarily from the Main04 Break system The current focus is on expanding gold production from the Main04 Break and a new discovery area the South Mine Complex SMC In January 2009 the compa ny initi ated a series of three projects aimed at increasing the production capacity to 2200 tons per day by January 2014 The current production capacity is at 700800 tons per day on a sustainable basis The next mile stone is a capacity of 14001600 tons per day expected to be achieved in the second quarter of FY fscal year 2014 The 2200 ton per day capacit y milestone is current ly tar geted for completion between January and April of FY 2014 Cash fows from operations in the frst quarter of fscal year 2014 that ended July 31 2013 were 147 million for the quarter compared to 98 million in Q4 of fscal 2013 and 24 million in Q1 of fscal 2013 Revenue for the quarter was 434 million Net loss before income taxes was 08 million which compares to net loss before taxes of 03 million for Q1 of fscal 2013 and a net incom e before income taxes of 4 million for the previous quarter Q4 of fscal 2013 Net and comprehensive loss for the quarter was 18 million or 003 per share Costs associate d with increases in the amount of waste being hoisted and with the traini ng of addition al man power and a lower gold price were contributing factors Harry Dobson company chairman commented Considering that the frst quarter had a planned shutdown in order to successfully install a new hoist drive and replace the 10 ton skips with the 125 tons skips we are pleased with the production results W e are on trac k to focus on driving 95 million Expansion Pr oject Contd on pg 09