Claude: Even if the recovery is up around 80%, the presence of the galena means cyanide leach is not going to work. Cyanide, per pound is worth 5 or 6 times the price of lead. The cyanide will attach to and get consumed by the lead before the silver will. That means one needs a higher cost crush, grind, and then either flotation or gravity concentration method. And then, that leaves one with a lead concentrate, which, unless it is a high grade concentrate, without any of a host of deleterious materials, may not have a buyer!
I am reminded of a recent conversation with a fellow over in Colorado. He made a couple of thousand tons of gravity con, (from a small, narrow vein operation), with about $2000 per ton of gold and silver, that he tried, unsuccessfully, to sell to my neighbor. Smelter at East Helena is now closed and Trail was not interested either. He says he is rapidly coming to the conclusion that he has created a multi-million dollar pile of hazardous waste!
Eric has made some very valid points about a host of potentially negative concerns. There are a whole lot of opportunities out there. Why take the risk on this one? And I rhetorically ask that question of the company as well as investors. |
