Royal Nickel Corp. RNKLF

Let's do a little math on potential profits of best hole

[Geodan2]

WFN-071 – 16.8 g/t over 27.8 m (including 3.1g/t over 7.32 m and 51.9 g/t over 8.55 m including 748 g/t over 0.53 m);

 

A cu meter weighs 2700kg or 3 tons. so each cu meter = 50.4 grams, so times gold price $41.29g = $2,080 a cu meter! That is for the whole 27.8 meters not the rich stuff. At extra wide width like this think worst case total mining cost is 2 grams a ton, so 14.8 grams a ton profit.

 

So $611 profit per ton or $1,833 profit per cu meter.

 

So with a 50 meter by 50 meter section of that 27.8 meter thick vein = 69,500 cu meters or $127,393,500 profit. Did I make an error on this? That $127 million profit has me think missed a decimal place, but can not find it. The recovery rate would take off about 5%, but that is still $121 million profit.

 

Please tell me I did not make an error :-)

 

Ran all #s again, it seems right

03 May 2019, 11:47 AM Edit/DeleteReply0Like

 

Darp Research, Contributor

Comments7744 | Following

Author’s reply »

 

OK good news, the #s have been verified, they are correct

 

There is good and bad news in terms of proximity to 071. There are holes within 25 meters that were not as good, so no 50x50m section could be there but those Holes are rated are rated prnewswire2-a.akamaihd.net/...at > 100 Grams per Sq Meter of vein, the highest on RNC scale. Those two factors average out but the good news is that hole was in one of the least drilled parts of drill campaign, so there is no 50x50 section. But there is over 50+ meters of room to right upper part on map undrilled. This area is lightly drilled, this is not where they are planning on mining (below and to left). And this is the drill hole they headlined (071) So the most profitable ore to mine they found was a surprise.