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Message: Deep West et al

That all makes sense to me. We are at the stage now that getting more high grade ore to the mill is the important thing. Remember the goldcorp numbers showed 300,000 ounces per year with less than 800 tons per day. If you look at the deep west, there is quite a maze of spiral ramps and the d-winze to navigate. My quess is that this area will not be developed until they sink a new shaft somewhere over by the old wingold mine. In the meantime the ore above 26 along with all of the near surface zones should be adequate to generate enough cash to keep us moving forward. As we saw with the hinge, surface drilling can get very expensive. The first 200 meteres have nothing to show and at $150 per meter you can save 20-30 thousand per hole if you start underground where the gold already is. The 007 was a good example of how to save money. Instead of spending 8-10 million drilling spend it on a ramp and get your drills and men a lot closer to the action. The other big advantage to drilling from underground is, as we saw with the 98 vein, you can drill out as far as your drill is capable horizontally and possibley intercept a NEW zone as we saw in the past release. This is very difficult when drilling vertically on an angle. I have been watching and learning for close to a year now and all the key moves that the management has made all make perfect sense to me. Maybe marketing and IR have been weak, however I believe if I am correct on the big picture,(POG vs fiat money etc.) SGR is a winner.

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