Page 16 Contd on pg 17 By Gregory Reynolds enabled Kirkland Lake Gold Inc to revise its projected production to 250000300000 ounces per year in Fiscal Y ears 20142016 Fiscal Y ear 2013 guidance remains at 180000200000 ounces Although reserves and resources for the company will be based on a calen dar year end the exploration budget year end April 30 Kirkland Lake Gold is an operating and exploration gold company located in Kirkland Lake ON in the Southern Abitibi gold belt On Sept 13 the company announced May June and July 2012 Company chairman Harry Dobson commented the site team is to be commended for taking on the pro tario in May which impacted both op erations and project expansion work Production plans for the remaining clude moving to lar ger skip sizes and make up for the loss of production in between 180000200000 ounces The site team is also continuing to tar get May 2013 for completion of the expansion project and to reach their production tar g et of 2200 tons of ore per day The expansion project kicked of f in January 2009 and was originally tar geted for completion in December 2013 While there remains a lot to be done gold mining company As the company expands its produc tion employment has grown from over 200 people to over 800 people Expansion Projects to date and em ployment is expected to be over 1000 people once the projects are complet ed Net loss before income taxes for the quarter ended July 31 2012 was 03 million which compares to net in come before taxes of 9 million for 2012 Costs incurred during the 1 1 day power and production outage in May and lower revenues due to lower grades in the quarter contributed to the loss in the quarter activities were 24 million for the quarter compared to 1 14 million for the previous quarter and 62 million Operating costs for the quarter were Kirkland Lake Gold expands pr oduction 316 per ton of ore 1276 per ounce of gold T otal cash production costs for the quarter were 317 per ton of ore 1280 per ounce of gold Costs per ton and per ounce in this quarter increased due to the power outage where costs were incurred without of fsetting production A new discovery the South Mine Complex SMC remains a focus for ongoing exploration programs as it remains open in all directions and at depth In Fiscal Y e ar FY 2012 the exploration budget was increased to 158 million including some new exploration at the 5300 foot level 2000 feet to the west of the known limits of the SMC where high grade drill intersection results were released in February 201 1 The company purchased the Macas sa Mine and the 1450 ton per day mill along with four former produc ing gold properties Kirkland Lake T eckHughes Lake Shore and W r ight Har greaves in December 2001 These properties cover seven kilome ters between the Macassa Mine to the west and W r ight Har greaves to the east being developed and explored under one owner On August 30 2012 the company completed the acquisition of Queenston Mining Inc s 50 in terest in the seven joint venture prop erties the two companies owned in the historic Kirkland Lake Gold Camp The company paid 20 million at completion bringing the total paid to date to 30 million Subject to satis factory property title registrations be ing completed for some of the joint venture properties and obtaining gov ernmental approvals for one of the ment of 30 million is due to be paid by the company on Dec 3 2012 On July 19 2012 the company completed a 575 million 541 million net of expenses private placement of con vertible debentures The funds will be used as part of the expansion program