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Message: Re: 10 Year Grind
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Jan 06, 2012 12:10AM
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Jan 06, 2012 12:28AM
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Jan 06, 2012 01:37PM

I will try to answer your questions best I can, however I am only going on the same information that is already public. You asked about more drilling. I do seem to remember that it will be a similar number of drills, however my guess would be a little bit more exploration and less definition. The end result could be less meters due to moving of locations etc. As far as future plans and share structure, we have had items in the corporate presentations of old that layed out a plan up to 2014 that will max out current mill, tailing pond capacity and the amount of ore that can be mined(due to mill). I am not sure how it was expressed, however the intention of the 2014 date was to give a timeline as to when any major decisions would or could be made as far as new infrastructure that would possibly require some new major capital. Dundee has also done a report that show production plateauing around 175,000 ounces in 2014/2015. I am assumeing that they are merely using historic grades of .25 opt x 1800 tpd. If the 007 keeps growing and continues to deliver close to 12 grams we will have to redo the math. The other interesting thing from Dundee's report is that they show a declining cost per ounce down to mid/high 400s. To answer the question about $10 in 27 months I think we will need to have a crystal ball to know if gold will be $1,000, $2,000 or $10,000.

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Jan 06, 2012 05:57PM
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Jan 06, 2012 10:23PM
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