Garpal Gumnut
Ross Island Hotel
- Joined
- 2 January 2006
- Posts
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Mate, I'm a bystander in this current sharemarket train wreck.
Still, if they do surprise by actually producing something tangible instead of salted samples, I may win the Feb comp.
Maiden Gold Resource and Preliminary Scoping Study Results for the Netiana Lodes at Balogo, Burkina Faso
● Maiden Inferred Mineral Resource estimate in accordance with the JORC Code has been completed for the Netiana Lodes at Balogo.
● Inferred Resource of 850,000 tonnes at 6.8 g/t gold for 185,000 ounces of gold has been defined at a 0.5 g/t cut-off.
● Resource estimate is highly conservative with spatial restrictions placed on the influence of high-grade gold samples in the resource model.
● High-grade core of the resource is predominantly oxide material and is located only 25m below the surface enabling early extraction in an open pit operation.
● Preliminary Scoping Study estimates from Coffey Mining suggest that an open pit development on the Netiana Lodes would be very robust, with a calculated NPV of A$45.7 million and an IRR of >100% giving a Capital Cost (CAPEX) payback of less than 5 months.
● CAPEX for a new modular 250,000 tpa plant is estimated at A$38.8 million and total Operating Cost (OPEX) is estimated at A$603/oz at a treatment rate of 30tph.
At a gold price of $1,550/oz, the mine would generate gross revenue of A$106 million/year.
● Mine life is 2 years and Golden Rim is confident that this can be extended with further pit optimisation and additional discoveries of satellite gold resources in the region around the Netiana Lodes.
And there you go.
What a crap initial resource.
CAPEX of $38m to go into production? What are they doing? Panning it out?
Mine life of 2 years? Cough, splutter.
Is this a joke?
I was going to tip for GMR and saw you took. Thanks for your tipping my friend
GMR
Due for an initial JORC, although it'll probably underwhelm, and may not even come in on time.
I however still struggle to think - why the directors invested their money recently?..................Any knowledgable in put ?
Mind you, the funny numbers in the announcement didn't help.
850,000 tonne resource for 185,000oz of gold. They state a Gross revenue of $106 mil per year at what I calculate a gross profit of $947 per oz. That means 112,000 ozs of gold per year, so that the resource of 185,000 oz is mined and treated in 1.65 years at a rate of 514,000 tonnes of ore per year.
The size of the plant they have based their IRR, payback, etc on has a capacity of 250,000 tonnes per annum, about half required.
Unless I have made some calculation errors, I would expect that credibility may be an issue as well.
Cheers
Country Lad
No, can't offer any knowledgeable input, can't remember looking at this one till now, but your post made me curious so I looked at their numbers.
I have no knowledge of the particular director Rick Crabb, but having a look at GMR, well let's say that I would not have bought shares whether or not I was a director. I can assume only that he was confident that the announcement would increase the share price (he bought the same day after the announcement).
The chart shows that GMR hasn't exactly had a good year,
View attachment 50954
and a good assumption would be that the market is not in love with it, so a logical conclusion is that the announcement of a 185,000 oz gold resource would be pretty well ignored by the market, regardless of how much it is sugar coated about an IRR greater than 100% and a payback of less than 5 months. Add to that of course, the obvious need for a capital raising.
An understanding of market sentiment would have made one very wary of buying based on that announcement, and in fact, the price has fallen about 30% since the announcement as could be expected, so why the director bought more will be a mystery to most.
Mind you, the funny numbers in the announcement didn't help.
850,000 tonne resource for 185,000oz of gold. They state a Gross revenue of $106 mil per year at what I calculate a gross profit of $947 per oz. That means 112,000 ozs of gold per year, so that the resource of 185,000 oz is mined and treated in 1.65 years at a rate of 514,000 tonnes of ore per year.
The size of the plant they have based their IRR, payback, etc on has a capacity of 250,000 tonnes per annum, about half required.
Unless I have made some calculation errors, I would expect that credibility may be an issue as well.
Cheers
Country Lad
Long time between drinks for Golden Rim Resources.
with grades as high as 784g/t. Some very impressive intercepts there.
Some chunky nuggets in that vein
Looks like closing at around 80% higher today. The recent January high of 0.023 is the obvious sticking point in the short term.
Only have about $800,000 in the coffers so the results are timely if they are looking to Cap Raise.
A second zone of high-grade gold mineralisation hosted in granite has been discovered with a new intersection of 4m at 23.2g/t gold from 67m, including 1m at 65.7g/t gold, in hole MRC014(Figure 3).
The second zone of high-grade gold mineralisation is interpreted to lie 25m northwest and parallel to the high-grade gold mineralisation recently discovered with previous intercepts of 7m at 121.2g/t gold from 41m, including 1m at 783.8g/t gold from 44m, and 3m at 7.2g/t gold from 56min hole MRC008.
The recent January high of 0.023 is the obvious sticking point in the short term.
Perhaps further drilling results will give a boost?
With assay results from a further 12 drill holes pending and due to be released soon, I think this is going to be a good prospect for the September stock tipping competition.
Perhaps further drilling results will give a boost?
Diamond Drilling:
Auger Drilling: A major 15,000m (3,750 hole) auger drilling program has commenced at the Diabatou prospect and will systematically cover various target areas in the Margou Permit.
- The first diamond drill hole (MDH001) at the Diabatou prospect has been completed and has intersected several zones of granite-hosted quartz-sulphide mineralisation with visible gold.
- A second diamond drill hole (MDH002) is currently being drilled 75m beneath MDH001.
- First assays from the diamond drilling are expected in approximately 3 weeks.
Geophysical Survey: A ground magnetic and gradient-array Induced Polarisation (IP) geophysical survey (~500 line km) has also commenced at the Diabatou prospect and will extend through the central portion of the Margou and Goueli permit areas.
So there will definitely be drilling results from Kouri released in November. I believe it is likely that they will be positive, so I will hang in for another month with GMR and hope for the best.
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