Hello teevee,
From what I understand, the important thing about the Snap Lake dyke is the uniformity of the ore. This is the reason for so many holes drilled on small centers to provide conclusive evidence that the grade is consistent from one area to the next. Thus we can all do the math to figure out what the total deposit is worth.
So Pit 1 and Pit 2 have different grades and values, but not so different as to be abnormal given the small sample size. WSP correctly decides to do a much larger sample, the purpose being to find a grade and value that can be used to descibe the whole orebody.
WSP has done this and released results showing a tremendous grade, but a poor value per carat. (FYI - read the comments from this Sudhir fellow expecting $250/carat valuation) This doesn't rule out a mine, but it certainly means much more work before anyone commits big dough needed to bring on production.
And now you have a theory that the ore from the other Pit would somehow be expected to be significantly more valuable. If this was true, that the valuations of each ton of ore varied significantly around the orebody, then nobody will commit any money until a good and proper, and new understanding is developed. This means more bulk samples at different areas around the dyke.
If the results from the next bulk are dramatically higher, that is good, but will mean that much more work will have to be done before a mining decision. This will obviously be a negative to anyone using a NPV approach to valuing WSP.
Even then, I don't know how you can be so sure of higher valuations. The rock is out of the ground, and nobody can change the valuations, so other than waiting for round 2, all else is hopeful speculation.
Maybe you can help to educate some of those on this thread who might have a differing view from you?
Best of Luck,
Confluence
PS Before I get vilified again, I'd like to express that those offering differing opinions have every right to do so, and even though you may not agree, all can learn from whatever anyone else has to add. |
