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Gold/Mining/Energy : ASHTON MINING OF CANADA (ACA)

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To: Just Wayne who wrote (3529)1/19/1998 2:07:00 PM
From: Jesse   of 7966
 
Hi Folks-- I'm not around much today... Graham, my guess is that the 1.31carat diamond is from the K-14B core sample. It isn't reported, but that would explain the high grade. Note that Ashton comments that this large stone is from the current analysis of samples. K14A, as it has now been deemed, was reported before, w/ the lgst stone sizes reported as well.

Good point that it skews the c/100t-- but good in that we're finding larger crystals.

Re. the size cutoff, as I posted in an earlier response to Denis, I believe Ashton uses the .8mm cutoff as exploration progresses:

Exploration method....... 0.5mm micros; > macros
Geological resource...... 0.8mm
Mining reserves............. 1.5 to 2mm (estimate)

I have not seen them use 1mm in Alberta. ? -
Good point in that the diamond counts would probably be MUCH higher, based on previous showings, w/ a .5mm cutoff.

Sapp, you're quite right in stating that the stones' sizes (& quality) are very significant here. That is what's going to make this deposit.
- - -
I think Ashton now has a better handle on this one pipe of many, and has drawn the conclusion that 14B&C are through the pipe tuff ring, and they have hit w/ 14A (no mention yet of definite diatreme-- hopefully soon). This is significant-- the pipe seems in tact. I think Ashton will go ahead w/ bulk sampling ASAP.

Frank, the house positions are coming. :)

-j
:>
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