To All!
I just want to through some numbers here and am looking forward
for a feedback..
IGCO is in the process to make changes to the original
drilling program due to the high content of mineralization
found in certain areas..
Each 500 ft hole is equivalent to about 13 mm tons of ore
The estimated or indicated reserve based on the work already done (until it is proven by further drilling, etc) can be assumed
based on the following simple math:
4000 ft / 19000 ft = 0.210 (or 21 %)
(19000 ft equivalent to 500 mm ton of ore: see previous press release)
500 mm ton * 0.21 = 105 mm ton (for the 4000 ft completed)
105,000,000 ton * 0.07 OZ/ton = 7,350,000 oz of gold (+ silver)
So just on the 1.8% of the entire IGCO claims there is a
potential to have 7.3 mm oz of gold proven
If IGCO would do some drilling on 50 ft interval in some other
potential targets and get similar results, it could declare
indicated reserve for the entire property that could be mind boggling !!! We are talking really BIG numbers..
Now to 7.3mm OZ, that could be proven, and
try evaluate the the company based just on this number:
Assume recovery cost $150 /OZ (very conservative in IMHO)
then $290 (current gold cost) - $150 = $140
Can we say that gold in the ground should be valued at least $100
per OZ?? (please some input here)
What then should the stock price???
$100 * 7,300,000 oz = $730,000,000 / 68,000,000 shares
(fully diluted) = 10.7 /share
And this is only 1.8% of all the claims company has
I think, IGCO could come up with better numbers for indicated
reserve size and publish it based on the drilling results already done
These numbers would draw a lot of attention to the company...
Surprized that this was not done...so far
End of this summer should be very exciting.. and every share holder will be happy!!!
Cheers,
Sam |
