Thanks Vince! I am all a titter with new facts about MDIN spinning in my head. Just a few thoughts.
a) I asked you about the Andicollo/Santiago property payment issue because one little worry I had from previous investments I have been involved with. Hypothetical, suppose MDIN "buys" a property for $24 million dollars from a friendly party. Some paper moves back and forth but no big money is exchanged for the new property. MDIN now has an asset now worth $24 millon dollars even though its true value may be almost nothing-pretty sneaky-hey? I am not saying that is the case here-certainly I believe the properties values worth exceed $24 million but just being wary-once bitten, twice shy.
b)Before "The Chief" eats you alive for your geology comments-perhaps I should blunt it by adding a few comments? What they told you about the placers or what you think they told about the placers is wrong! I studied the topo maps of the area and have significantly increased my understanding of placers to say this.. In this case, the present of such large placer deposit in the same region as Lipangue suggests on a regional basis that is more gold around in this area than historical mining records suggest-ie the likely sources of the placer have yet to be found. Have said that, the placers deposit are likely unrelated to Liapangue due to the distances involved. Placers at Los Dos Marias, and several other small creeks that come directly from Lipangue mountain are certainly also related but I think the Carin, Pungue deposits are more likely from the numerous veins type deposit that are scattered everywhere on a regional basis. Also the presents of the diatreme breecia pipe(ie the top of a porphyry deposit)and the pyrmaid structure suggests that most of the original deposit is still there-has not eroded away. Many of the other copper porphyrys in Chile have had a good chunk of the porphyry simply dissappear in the last tens of millions of years or so. In regards to mining of placers-the placer gold is found in a mostly pure nugget form-ie not chemically bonded to something so as to have to resort to some type of leaching process to extract the gold. This cuts down on production costs to be sure. Placers are typically not mined by Majors anymore because most of the significant placers deposits have all been mined out. What remains are generally small, erratic deposits that are not economical to mine due to the small size, environmenal issues, lack of title to a large enough portion of the river(river propertys anywhere in world are generally occupied or farmed!) It does appear, in this case, we may have an exception!
c)I buy into your explaination why the majors did not get to the properties first! In regards to Andicollo, at first glance, Dayton's properties appeared to more furtile ground based on a variety of early geology studies done. However, it appears quite clearly to me having read several journal articles on the subject, geologists didn't come up with a very good model to explain the gold deposits there-ie the gold isn't where its suppose to be!(somebody should tell mother nature this!)The dayton mantos deposits should have had more gold in them than the ones MDIN layed claim to. I would never have quessed looking at the geology maps that the Churrmata would be the crown jewel-geologists make mistakes because they never have a complete understanding of the geology. In regards to the Santiago properties, most of the major mining companies were all hot on the trail of porphyrys further to the East and North of that area as the regional geology setting appears to much more favorable. It is easy to see why Santiago was missed! One wierd thing about all of this is that Andicollo which is a long way due North of Santiago appears to be related on a large regional basis to Lipangue/Santiago. It has most in common with each other-strange that MDIN owns both of them-coincidence? Very doubtful!
d)In regards to Dayton, I believe you think that MDIN will one day own Dayton!-ie Dayton will have to forfeit the mine to settle all the legal claims-lets hope so! |
