Projects & JV's While we are waiting for the drilling results of the Santo Domingo to arrive, I thought perhaps it worthwhile
to dig a little deeper back in Ontario and perhaps some logical partners in Mexico as well.
At the Santo Domingo I believe Pan American is south of them but I noted that La Yesca , north of them,
has a modern milling facility designed to process two hundred (200) tonnes of feed per day. The mill is
being immediately upgraded and modified to achieve higher recovery rates for the extraction of silver from
the tailings currently being processed, so this may be a JV target unless the company should decide to
go it on their own. At todays silver prices and higher projections moving forward, this would certainly be
a worthwhile undertaking now.
They've got their permits all in place to extract the ore and with the deposit being located on a hillside,
those long intervals of mineralization are easy to get at and low cost coming at it from the side resulting
in low costs to produce.
At the Hislop, the logical JV partner would be St. Andrews with their nearby Holt Mill for recovery of the gold.
They opened that mill back up last year with production commencing the Q3 of 2011 and are expecting to
produce themselves 22,000 ounces Au for 2011. Even though their resource in ore in 3 times larger, our
grade is significantly higher resulting in Stroud's Hislop property containing roughly 170,000 ounces.
With the Leckie as well hosting 80,000 ounces, at today's prices of gold at $1450 +, that's over $35,000,000
worth of gold alone.
It's stated on their website for the Hislop that there is potential of more mineralized zones to be discovered
with addtitional drilling.
Goldfields' grade averaged 2.4g/t, whereas, Stroud't averaged 6.61 g/t. I would like with getting the
mill up and running again with today's prices making it so much more viable, that St. Andrew's would be
very interested in such a proprosition being right next door.
It's easy with silver going nuts today to set the focus on those potential 300 million ounces in Mexico and
becoming a producer to boot but when you add in the gas revenues and the Hislop at 35 million bucks, you apparently can get a lot of value today for only .17 cents .........
JMHO
I meant on my last post to state a closing of .16 and not .17 but still, holding in this range after such a runup and especially during a nasty week on the markets, is impressive for just making it on a few radars now.......