Since the takeover of Integra (Randalls) and acquisition of Phillips River (Great Southern), Silver Lake now has two operational project areas (being Mt Monger [~40km east of Kalgoorlie] and Murchison [~20km east of Cue in the Central Goldfields of WA]) and an exploration project at Great Southern (~20km SE of Ravensthorpe in Southern WA).

Silver Lake's ~2mtpa production centre at Mt Monger remains underpinned by the ultra high grade Daisy Milano complex with Randalls gradually ramping up following the usual ~1.5 year acquisition/transition management cross-over period. The doubling of production from Daisy has been delayed by the ~US$200/oz fall in the gold price to ~US$1350/oz relegating the required second decline from the old Haoma mine into Western Haoma to the "wish list" (or ideally a higher gold price environment).

At SLR's new ~1.2mtpa Murchison operation, production continues to ramp up with a target of ~60,000oz to 70,000oz for FY 2014, based on deferring underground development for ~12 months in a lower gold price environment. However, that may change following the recent re-interpretation of the Comet/Comet North/Pinnacles area.

SLR's exploration division is refocusing its best targets company-wide within its 3 project areas through applying an internal financial matrix based on a number of parameters. Of which the Great Southern area appears to be making material progress focusing on the gold and gold-copper mining areas of the old Kundip and Mt Benson goldfields.

With the lower gold price environment, SLR (like most gold companies) is scaling back to reduce costs in all areas : operational, exploration, personnel and corporate, and applying innovations. For example, the switch from diesel to LNG fuel at the end of Sept 2013 could reduce the power costs of its Murchison operation's plant by ~20%, or a potential reduction in the plant's unit cost per ton milled of ~10%, with negligible upfront capex.