GREAT news coming....
By: hooters
Reply To: 18223 by aesty
Sunday, 12 Dec 1999 at 4:36 PM EST
Post # of 18244
OT: Playing with some numbers this weekend based on info that was discussed
at Don's home last week. No sense discussing whether the Santa Maria has gold
and silica. We already know that. The big questions on everyone's mind has been
whether the silica is good enough to sell, is there a market, how much can OREX
get per ton, how much gold per ton, can OREX get gold with environmentally safe
process whether HGP or OREX generated, can OREX obtain financing to get
this stuff out of the ground.
1. Tests have been done on the silica. I don't know the results other than they are
good. Guesses as to the value the other night was $4-700 per ton. Remember
that a ton is about 2 1/2 feet square.
2. There is a huge silica market in OREX's back yard. The biggest suppliers to
the local market come from India and Illinios. Bet transportation costs are high.
3. OREX is expecting to see 1.4 ounces of gold from their test which has not
been made public. You can track gold prices in your daily paper.
4. Gold was extracted safely with OREX's own juice. This is a FACT.
5. Can OREX obtain financing is the big question that remains. Let's look at this
for a second. Take silica at the low end of the estimate. This is $400 per ton.
Gold at 1.4 ounces within the same ton as the silica. This is a small mill so expect
60 tons per day for current shift and an estimated 125 tons per day for around the
clock operation. This is per Don. Gold is currently at $280 per ounce. At the 1 1/2
ounce per ton figure, we get $420 per ton. Add this to the $400 per same ton for
silica and we get $820 per ton total. At the 60 ton per day mark we have revenue
of $49,200. Operating for only 5 days a week, we have revenue of $264,000 per
week or $12,792,000 per year. If the silica tests higher and/or the gold is more
concentrated, these numbers go up. If the mine is run around the clock and/or
more than 5 days a week the numbers also increase. Remember that this is just
the Santa Maria mine we are talking about. Does anyone doubt with Don's
connections that financing is a slam dunk. Financing would put a mill in place that
will process many times the current mill. Anyone who doesn't believe that
financing is a given, please raise your hand. Go ahead. Don't wory. We won't
think you're an idiot.
Write my estimate down and compare to the numbers that OREX releases when
the tests are made public. I would expect numbers soon. If they are higher than
mine, strap yourself to your chair so you don't fall off during the ride. |
