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Gold/Mining/Energy : Blue Chip Gold Stocks HM, NEM, ASA, ABX, PDG -- Ignore unavailable to you. Want to Upgrade?

To: loantech who wrote (5697)	7/30/2006 1:26:47 PM
From: Mr. Aloha	Read Replies (1) \| Respond to of 48092

Actually, it was 17,926,988 metric tonnes at 5% zinc cutoff grade, which is nearly 20 million tons (19,760,919). At a 3% cutoff grade, it's 28,042,538 metric tonnes, or over 30 million tons (30,911,290). With the tripling of the price of zinc over the last year or so, the cutoff grade actually used in production is likely to be even lower, meaning much more zinc would be mined. The 5 billion pounds of contained zinc in just the two mantos where the zinc deposit has been proven out should be 8-10 billion pounds in actuality, or maybe more. A 5% cutoff grade is extremely conservative when there are many mines with a lower average grade, all of which were put into production when the zinc price was much lower. The recent drill results indicate they may have well over 10 billion pounds of zinc in total, meaning at the current market cap, you're paying only about 1% of the value of the zinc in the ground. Add in the high-grade silver, and MMGG is such an amazing value it's mind-boggling.