HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)

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Message: A nickel mine - Of course.

A nickel mine - Of course.

posted on Oct 21, 2009 01:18AM

miskealp1; "So what will they call the new mine. A platinum mine, or a palladium mine ?"

Here are some numbers for a few key holes to give an idea why it will be a nickel mine. The other metals are just a bonus. Note that while many make a fuss about PGMs, it is usually copper that contributes the most value after nickel. That is why I often say that we are neglecting the importance of lowly copper and favouring the glamorous precious metals.

I wanted to get a feel for the relative $ values of the intercepts for some of the holes but in doing so the $ values of individual metals are shown. I also have a total dollars per ton of Ni & Cu coupled with the total dollar value for all metals (second set of values from the right).
The final right hand figure is the total dollar value for all the metals multiplied by the intercept length to compare the holes as to how valuable a particular hole is relative to the others.
(In brackets are the reported metal concentrations. Makes it easier to check my calculations which are approximations.)

Further note, the quality of the nickel content is not as important as the intercept lenght, provided that nickel is in economical quantities. So no need to be disappointed if nickel is only 2% or so as long as it is tens of meters thick.

Hole No. Interval(m) Individual$Values/ton Sum$value/ton HoleValue
Hole$value = (Total$Value/ton)*Interval BaseMetal,Total
-------------------------------------------------------------------------------------------------
NOT-09-49B 178.8 $224.40,$64.02,$40.47,$22.38 $288.42,$351.27 62807.1
(1.2% Ni, 0.5% Cu, 0.9 g/t Pt,2.0 g/t Pd)

NOT-09-49C 149.5 $448.80,$70.42,$44.52,$56.78 $519.22,$620.52 92767.7
(2.4% Ni, 1.1% Cu, 1.0 g/t Pt,5.1 g/t Pd)

NOT-09-59 6.8 $1215.77,$351.48,$109.35,$131.14 $1567.25,$1807.74 12292.6
(6.51% Ni, 5.51% Cu, 2.44g/t Pt, 11.84g/t Pd)

NOT-09-63 14 $545.40,$72.54,$47.22,$58.28 $617.94,$723.44 10128.2
(2.92% Ni,1.14% Cu, 1.05gpt Pt and 5.21gpt Pd)

NOT-09-66 49.4 $379.16,$95.70,$33.75,$33.0 $474.86,$541.61 26755.5
(2.03% Ni, 1.50% Cu, 0.76g/t Pt, 2.99g/t Pd)

NOT-09-67 101 $326.86,$67.92,$37.77,$30.15 $394.78,$462.70 46732.7
(1.75% Ni, 1.07% Cu, 0.86gpt Pt and 2.71gpt Pd)

NOT-09-68 49 $414.31,$47.11,$53.96,$41.21 $461.42,$556.58 27272.4
(2.22% Ni, 0.74% Cu, 1.26gpt Pt and 3.68gpt Pd)

Just trying to introduce some objectivity to often subjective comments on the topic.

Cheers to all.

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