We really don't need more giggling computers. It is bad enough women do that. Giggle, giggle, giggle. It is hard to retain sanity. Add constant crashing and the fact that as computers get faster they are getting slower and have more viruses -- well the comparisons to a red light district should be obvious. Leave your wallet at home.
Meanwhile, back on Silicon Mountain, the slope steepens as it gets slicker. Behind you, past the Bergschrund, is the bottomless Ravine of of Ha-Ha Valley, so hang on tight. Climbing to upgrade peak may be your only option. You may have to spring for a new set of crampons. I prefer the Athlon variety. I climb without oxygen, preferring the raw stripped down, Linux gear, but I don't get altitude sickness and my pitons have never popped out. Not as secure a tie-off with the Windows protection points.
Yukon Thingie.
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Analysing the info quickly it appears that they drilled, without width averaging about $6.54 CDN per yard. There are operations working at that grade. The drilled grade would be pretty close to what they would recover. They need about 400 holes to delineate their pay and some trial mining to see wha they will recover. Too much more drilling is a waste of time. Trial mining is their only way to go next. Some Yukon ops ran at that grade or close to it in dredging. They will need about 3 megabucks to get going there. And water permits and other things. The Yukon Consolidated people in the 1950's used to run about 5 bucks a yard recovered (with several dredges in different locations) at a rate of 5 million yards per year. This is using conventional inflation rates to calculate their pay in today's figures. Costs up there usually run about 80% of the pay. This dictates scale must be large to make real money. You cannot run at a dollar a yard up there. If the ground is frozen it has to be thawed. (YC had to do that on most of their ground.) The only ways to do that is by stripping in the winter, and/or using cold water to thaw it. This is a money burner, and requires huge water permits and drainage diversion permits.
1.55 pre yard cannot be mined up there. This is their stated cut-off. They cannot calculate a cut off unless they know the grade, the ratio of that grade in total tonnage and the true scale and mining costs. So it is a meaningless figure.
The gold is there, but the skills so far could be questionable. Placer is proved in the mining of it. If their ground runs 8 dollars recoverable/yard, then I would say they can make 3 bucks per yard.
That is the reality. Payback is a question as I am not sure the rate of cash costs versus retirement. I believe with BOE calcs that with debt at 3 million retired over 3 years, that all costs on the claims, (debt included) but not including ongoing exploration costs - with ten men hired would be 5 bucks a yard at 2500 yards a day. So 3 X 2500 X 120 is what they would make. 900,000 clear (before taxes) a year. The have wiggle room there, but probably not much and that is above average ground. Note that you cannot write the equipent down that fast, so earnings here are exaggerated.
EC<:-} |
