Deflector is a high-grade gold and copper deposit located South Murchison, Western Australia. A definitive feasibility study completed in October 2012, projects 55,000 ounces of annual gold production at Deflector over a 7.5 year mine life. Production will begin from an open pit operation and expand underground, with ore from both the open pit and underground being processed through the existing Gullewa processing facility. The facility is being upgraded and will include a floatation circuit as well as a revamped mill and gravity circuit, providing plant capacity of 480,000 tonnes per year for oxide and transition ore during the first two years of production and 380,000 tonnes per year for primary ore thereafter.
Sandstorm Gold Stream
Sandstorm has a gold stream agreement to purchase 15% of the life of mine gold produced from Deflector at a per ounce price of US$500 per ounce of gold. Sandstorm will make an upfront payment of US$38 million to acquire the stream.
For a period of 36 months, Munity has the option to repurchase up to 50% of the agreement by making a payment equal to the greater of US$24.7 million or the value of 14,472 gold ounces to Sandstorm, upon receipt of which, the percentage of gold that Sandstorm is entitled to purchase shall be decreased from 15% to 7.5%.
Reserves and Resources+
| Classification | Tonnes | Au (g/t) | Au (oz) | Cu (%) | Cu (t) | Ag (g/t) | Ag (oz) | Au Eq (oz) |
| Proven | 1,253,000 | 4.7 | 187,000 | 0.8 | 4,000 | 8.4 | 339,000 | 213,000 |
| Probable | 1,091,000 | 5.1 | 179,000 | 0.5 | 5,000 | 2.9 | 102,000 | 202,000 |
| TOTAL | 2,344,000 | 4.9 | 367,000 | 0.6 | 9,000 | 5.9 | 441,000 | 415,000 |
* As at November 2012
The Gold Equivalence Calculation represents total metal value for each metal assuming 100% recovery, summed and expressed in equivalent gold grade or ounces.
The AUD metal prices used in the calculation were $1,700/oz Au, $8,000/t Cu, $27.0/oz Ag.
Note: Totals may appear incorrect due to appropriate rounding.
| Classification | Tonnes | Au (g/t) | Au (oz) | Cu (%) | Cu (t) | Ag (g/t) | Ag (oz) | Au Eq (oz) |
| Measured | 1,164,000 | 6.0 | 223,000 | 1.5 | 17,000 | 10.9 | 407,000 | 310,000 |
| Indicated | 1,043,000 | 7.3 | 246,000 | 0.6 | 7,000 | 4.2 | 140,000 | 279,000 |
| Measured & Indicated | 2,207,000 | 6.6 | 468,000 | 1.1 | 24,000 | 7.7 | 547,000 | 589,000 |
| Inferred | 658,000 | 5.8 | 122,000 | 0.5 | 3,000 | 3.9 | 82,000 | 140,000 |
| TOTAL | 2,865,000 | 6.4 | 591,000 | 0.9 | 27,000 | 6.8 | 629,000 | 729,000 |
* As at November 2012
The Gold Equivalence Calculation represents total metal value for each metal assuming 100% recovery, summed and expressed in equivalent gold grade or ounces.
The AUD metal prices used in the calculation were $1,700/oz Au, $8,000/t Cu, $27.0/oz Ag.
Note: Totals may appear incorrect due to appropriate rounding.
