Charles and everyone:
I will post the following brief analysis of the latest CLN press release by Echarters. Silviu asked me to get an opinion from Mr. Charters and I forwarded his reponse to Silviu a couple days ago. I presume Silviu has attempted to answer some his ECharters concerns and questions. Does anyone know when we might expect to get further results from Blackdome and Timmons? Thanks...RS
Subject: Re: cln.v PR
Date: Sat, 18 Jan 1997 09:05:31 -0700
From: echarter@vianet.on.ca
To: Bobby Saito <tokyo@pacbell.net>
>Richard Somverville, CEO and Director is pleased to announce that the
>company has entered into an agreement to acquire a 100% interest in
>Equinox Resources Inc. (Calif.), 100% owner of the Zenda Mine near
>Bakersfield, California.
>The Zenda Mine has an identified orebody of 920,000 tons of ore at a
>grade of 0.057 ounces of gold per ton and an estimated 0.4 ounces of
>silver per ton with a stripping ratio of 1.33 to 1. Substantially all
>the permits necessary for production have been approved.
EC#- it's really hard to get permits in Calfornia..the mine sounds real..but SMALL..that's less than 57,000 ounces!!!
>orebody are indicated but undefined. A mineralized en-echalon zone of
>alteration has also been identified, and an exploration program is
>planned to attempt to substantially increase the ore reserves while
>production development is initiated on the known orebody.
>The acquirable interest in the mine is subject to a 25% net profits
>interest to the Vendor, as well as a 5% NSR royalty to underlying
>interests.
EC#- frankly, that is why it hasn't sold before..that is entirely too high, too little left over after costs..less than 50% of profits left over!!! If gold is produced at $270, a common figure, then net to CLAIMSTAKER is $18.25 an ounce after taxes!!! You would need lots of ounces to convince me it was worth it.
EC#- Also we do not really know if this deposit is heap leachable. This makes all the difference, if it's full milling then it would be hard to capitalize at its present size..drilling MAY CHANGE THIS..but I wouldn't hold my breath.
Claimstaker website at infodine.com
**********************************************************************
mailto:echarter@vianet.on.ca
The Canadian Mining Newsletter
timmins.vianet.on.ca
E.Charters Box 1555 Timmins, ON. Canada P4N-7W7
705-264-7110
********************************************************************** |
