Assay Results: Some Implications
Here's some of the more salient implications for RES's assay results from the first 5 holes of a 19 hole program they recently completed:
Some of the best results -- holes 3, 3A and 6 -- were at the
margin of the property. That could be important as it points to good potential extending the deposit beyond where its currently delineated. Those holes ranged between 7% and 11% REOs, which are some of the best grades they've seen in the Bull Hill SW deposit.
"Great dimensions and marvelous grades" was how RES president Don Ranta described it
in this interview.
Each one per cent of REO represents some $80 to $100 dollars per ton. This is based up on the specifics of the Bull Hill deposit as outlined in their 43-101 technical report and on current REE prices.
We're talking in-the-ground, gross metal value.
So take one the reported grades of 6.7%. That some $540 to $670 per ton rock. The deposit is already compliant at some 10 million tons and these results point to a significantly larger resource.
Then factor in that this is a very tight share structure with some 30 MM outstanding.
Have we have your attention now?
We still have assays from 14 holes due to be reported. RES expect those all to come in around the end of January. And with those results, they'll then update their 43-101 resource report.
Oh, an an AMEX listing is already in the works. I would expect that in Q1 of 2010. This opens the door to some serious institutional investors.
The future looks bright indeed.