RE: RE: RE: Fundamentals!! Hey Analytiker...
AP-12-101 was successful...no doubt...but...it was more of the same that the market already had factored into the equation.
It was in too tight to the Breccia Zone...only 30 metres to the North...when the major players create their model there is an allowance for distances that range up to 50 metres from the hole that was released and they will adjust their model and calculations accordingly as factual information is released.
Remember...these plays are highly speculative...we are dealing with many unknowns...but...the unknowns become factual as the drilling programs progress....we must study and analyze the factual findings and determine if we are going to stay invested or not.
I feel that it is very important to shift our focus away from the Breccia Zone...the market and the drilling has pretty much established the parameters of it....what is important now is the ground surrounding it....the Breccia Zone is a confined area....the market has picked up on it and seems to be not too pleased with the findings outside this zone.
The market always looks for continuity of an ore body...outside the Breccia Zone the mineralization is of a much lower grade and appears at this time to be scattered...it will affect the economics and size of the Open Pit Parameters and in turn the value of the project and of course the share price accordingly.
There are other pockets of higher grade material found on the Ana Paula Property...but...they are scattered and much further away from the Breccia Zone to be included in a viable Open Pit Scenario.
I believe the "magic" may be slipping away, which will cause many investors to leave.
What appears to be taking place at this time is...."get down in the trenches" time. Grind and grind and grind some more to prove up the Ore Body....a lot of money will leave to find other plays with more excitement.
In my opinion the latest findings point to future assay releases that will be of a much lower grade and length...the Breccia Zone findings are history and the future releases will more than likely avearge less than 1 g/t. moving away from it.
We may be stuck in a range once the market establishes what that is going to be...if we break the range that this has been in namely, in the $1.40 to $1.45 range the next stop is $1.25...if it does not hold that the fall could be significantly lower.
All the Best!
Digger144
P.S. One hint...the Newstrike Team is attempting to find new pockets of mineralization to keep the excitement alive and the share price from falling...their attemps thus far have failed. I believe that they are aware of the circumstances are are trying hard to keep the "magic" alive.