Mike Heim: Okay, all right. Thank you, Mark.
Operator: [Operator Instructions] And your next question is from Joseph Reagor, from Roth MKM. Please ask your question.
Joseph Reagor : Hey, Mark and team, thanks for taking the questions. So first thing and a lot of stuff I wanted to touch on already was, but just kind of a little bit of a housekeeping thing. Your G&A expense seems that the last four quarters it’s been quite a bit elevated. Is there anything driving that or is that kind of like the new normal?
Mark Chalmers: Well, the new normal is we’re under increased operational activities across the company. So we’ve hired I think, last since the beginning a year I think we’ve hired like 30 some people. You know, we’re developing a number of different projects in different locations. We’re capitalizing some of that, but it’s I think it’s just the new normal of getting the flywheel going on the various projects that we have. So it doesn’t just happen without making it happen. And when you go from more of a standby mode to an operational mode, there’s a certain amount of burn rate that you just have to increase to get there. And Tom, I don’t know if you — Tom Brock, our CFO is on the line. I don’t know if he has anything to add there.
Tom Brock: No. Mark, thanks for the question. I agree, as we move out of this standby care and maintenance mode into an earnings mode. Of course, we’ve upgraded some talent added more boots on the ground to those projects that are underway. And I’d also add in that G&A, you’ve got for the three months ended or six months ended June 30, you’ve got stock-based compensation of $2.7 million. So with additional heads comes additional of units. But again, that’s noncash.
Joseph Reagor: Okay. That’s helpful. Second thing, there were some reports a couple of weeks back about there being a potential moratorium on mining uranium for a certain section of Arizona. Does that impact you guys in any way or all of your assets like outside that specific area?
Mark Chalmers: We don’t believe so because we have valid existing rights. We have a number of assets that are fully permitted, ready to go, like Pinyon Plain. We’re advancing that right now. And we’re just full tilt on that project. There is discussion of a monument. We haven’t heard exactly what the outcome is going to be there, but we do not believe it’s going to change our activities at all with the Pinyon Plain Mine period.
Joseph Reagor: Okay. So to be clear, your asset is outside where the proposed monument is or just cut out, has an exemption?
Mark Chalmers: It is Inside, but it is a project that is fully permitted, been supported by the U.S. Force Service for 35 years. They’ve defended that. So we believe the valid existing rights are sound, and we’re going to go forward with the project. David Frydenlund, our Legal Counsel is on the call. Dave, do you have any comments?
David Frydenlund: Mark, I think you summarized it. Under the law, you can’t — the President cannot — any national mine in proclaimed is subject developed existing rights. The area where our mines in Arizona is subject to mining withdrawal right now, which is subject to fill existing rights. We’ve established all the existing rights which even upheld by the court for the Pinyon Plain Mine. So we expect that those will be honored in if a new monument is proposed.
Joseph Reagor: Okay. I appreciate the clarity there. And I was under the impression you guys were exempt, but I just wanted to make sure we’re clear on it. And then kind of a last thing. As you guys look at current operating expenses and growing the business, how should we think about when you guys will start to sell extra inventory or restart operations? Are we at the point where you guys do have a fixed price in mind, even if you can’t disclose it? Or is there a fixed time line that you guys are aiming for? How should we think about that?
Mark Chalmers: Well, we’re really kind of focused on building a book where we have at least a $20 margin on our uranium production. And as you can see with a number of our inventory sales, we’re getting more than that currently with a lot of our inventories. Now a lot of that’s come from alternate feed. But we’re trying to build a book with at least at $20 margin, likely more with some of our operations like Pinyon Plain. So — but that’s kind of how we’re trying to approach it is everybody’s got to get to a point where they’re making money here. And we’re not out there to do recreational mining, but we’re just trying to build the book. And really, frankly, with the increased cost, the difficulty of getting additional labor reagents, we really need uranium prices to go up somewhere in the 70s plus before we’ll continue to build that book.
