Re: CIBC selling us down
in response to
by
posted on
Mar 02, 2011 11:29AM
San Gold Corporation - one of Canada's most exciting new exploration companies and gold producers.
What development ore? From where? And all this with no explanation...
I think you hit the nail right on the head. I believe I had read on this forum many many months ago that the strategy was to develope the stopes and showcase them while continuing to push towards developement of infrastructure, The purpose as I was "led" to believe was to preserve the ounces for a possible suitor while utilizing a limited work force to continue developement. Because of a lack of credible explanation I am starting to have my doubts. The Hinge was supposed to be the game changer, however it is starting to appear that they were wrong and with the Hinge being on the RLM structure the grades were not as high as hoped for with narrower veins and too much dilution. How then did they manage to produce such a fantastic result on their bulk sample?? This question needs to be answered as that bulk sample was the main reason I have hung around here for so long.
Highlights and Observations of the Hinge Zone Bulk Sampling Program include:5,938 ounces recovered from 11,762 tons mined and processed.Stoping grades of 21.7 g/tonne (0.63 oz/ton) and development grades of 16.9 g/tonne (0.49 oz/ton).Main Hinge lens #1 grades 26.3 g/tonne (0.77 oz/ton) in stoping and 21.2 g/tonne (0.62 oz/ton) in development. Bulk sample operating costs averaged Cdn $59 per ton for mining and Cdn $19 per ton for milling, for a total directoperating cost of Cdn $78 per ton, excluding capital expenditures and exploration drilling.Total direct bulk sample operating cost per ounce of gold produced is Cdn $184 per ounce or approximately US$158 as at June 30, 2009.