RE: RE: RE: RE: Why is the stock so weak?
You are correct with the 70/30 split for current mining operations. The last news release states that in the shafter update. Link below.
Overall impact TBD.
What I find will provide market uncertainty is similar to la negra where 85% of ore processed is coming from a non compliant resource.
The open pit is in a similar state - not part of our resource and work ongoing to define its potential. We don't know what's coming out or how much. Hopefully more clarification will be provided in the Q2 MD&A / financials due out soon or the question asks during the conference call.
On another note some of our "contaminated" ore may be coming from there.
Wed Jun 6, 2012
Aurcana Commences Open Pit Mining at Shafter
Aurcana Corporation ("Aurcana" or the "Company") is pleased to report that in conjunction with its current underground operations, the Company has initiated some open pit mining commencing on April 23, 2012 from the Mina Grande Pit located on the historic Presidio Mine on strike, west of the Company's Shafter mine.
To date a total of 4,725 tons have been mined and processed from a historic dump and open pit operations with a combined average grade of 2.2 ounces Ag per ton. The materials from both dump and open pit operations were processed together and not processed separately to determine the average grade from each of the dump and open pit operations A total of 3,813 (80.7%) tons were derived from the Mina Grande open pit and 912 (19.3%) tons came from historic material from the East Shaft Dump. In-house assay results from the first two doré bar pours indicated a silver content of 78.77% and gold content of 11.14% Au and 84.37% Ag and .06% Au, respectively. These assay results have not been independently tested and verified.
Historic workings of the Mina Grande open pit were surveyed and chip sampled on four levels to a depth of 80 feet and assayed to determine the extent and grade of the mineralized area. Based the encouraging preliminary indications, the Company intends to continue to conduct further operations on the Mina Grande open pit to further evaluate its potential. The Company is unable to forecast future results based on materials mined and processed to date or otherwise determine if these current results will be indicative of the results to be obtained from future mining operations on the underground and open pit.
Samples were dried and reduced to 10 mesh. A 300 gram sub sample was obtained, pulverized to 95% passing 200 mesh by ring and puck pulverizer. Silver and gold were determined by Fire Assay with gravimetric finish using a 30 gm prepared sub sample.
Dore samples were analyzed for Au and Ag by Fire Assay and Gravimetric finish.
The mineralized potential of Mina Grande Pit is uncertain at this time and there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the Mina Grande Pit being delineated as a mineral resource. The Company is not treating these results as current mineral resources or reserves. The Company has not undertaken any independent investigation of the open pit plan. The Company believes the initial results provide a conceptual indication of the potential of the mineral occurrences within the Mina Grande open pit.