Adam Graf
Very good and maybe a question for somebody else, but what kind of upside potential do you guys see at Wharf from both the resource conversion and resource expansion?
Mitchell J. Krebs
It’s Mitch. I’ll take a crack at it. Joe, Hans, anybody else, Frank, jump in. I think it is fair to say Wharf hasn’t received a lot of exploration funding and attention over the last few years but there are a couple of targets adjoining areas of gold mineralization that we’d like to test in the near future. Probably the biggest area of opportunity as we see it coming in is just in this positive reconciliation trend that we note. We think that has the potential to lead us into further extensions in the mine life. Joe, Hans, or Joe or Frankie?
Adam Graf
Great, thanks guys.
Mitchell J. Krebs
Thanks Adam.
Operator
Your next question comes from the line of from Andrew Kaip from BMO Capital Markets. Your line is open.
Andrew Kaip, BMO Capital Markets
Good morning Mitch.
Mitchell J. Krebs
Hey Andrew, how’s it going?
Andrew Kaip
Pretty good. A couple of questions. Just on the acquisition. What type of conversion of the existing resource did you include to meet your criteria for acquisition?
Mitchell J. Krebs
We didn’t include anything other than just the existing reserve.
Andrew Kaip
Okay.
Mitchell J. Krebs
[inaudible]
Andrew Kaip
Yeah. Less what we expect last year, of course, right? Yeah. I guess the other question I have is the spread on the Owen’s is getting close to about $75 an ounce. Did you look at it from a more conservative standpoint of cost structure or did you look at it and feel that you can move those costs down to the $800 range?
Mitchell J. Krebs
Yeah, keep in mind that we’re starting off of a range that Goldcorp provided us. Though when you take a look at the capital in the 2015 number, $800 – $875, I think the capital is somewhere in the $5 million range in 2015, so that will be the one piece that we’ve taken a closer look at as far as what could be stripped out potentially here in 2015 and so we are going through that exercise right now. But the cash cost and all-in sustaining costs dealt at isn’t that great on this asset.
Andrew Kaip
Okay, and then I guess the other question I have is, Goldcorp is projecting that around 15,000 to 20,000 ounces will be attributable to Goldcorp in 2015. I am just wondering, we’ve seen the transfer of operation last year with Silver Standard and the second quarter, once the transaction was complete, there was an inventory delve at Marygold and I am wondering, we should be expecting the same trend in your forecast for what production you think you’ll be receiving attributable for 2015?
Joe Phillips
Yeah, Andrew, this is Joe Philips. We don’t predict any inventory filled out in the transition.
Andrew Kaip
Okay, you don’t.
Joe Philips
No.
Andrew Kaip
Alright.
Mitchell J. Krebs
I wonder. Does it have to do — because the off and on, on-off…
Joe Philips
Yeah, they do have an on/off leach method that shouldn’t impact the transaction at all.
Andrew Kaip
Okay, so their leaching facilities are on/off construction?
Joe Philips
Yes and they’re leaching their running of the AVR plant is continuous so there shouldn’t be any build-up.
Andrew Kaip
What’s the leach cycle, Joe?
Joe Philips
Leach cycle is between 9 and 12 months.
Andrew Kaip
Okay. Okay thanks very much.
Mitchell J. Krebs
Yeah thanks Andrew.
