RE: RE: RE: RE: BMO conference - Yale's presentatiexeter is only going to have an inferred tonnage that incorporates themajority of the mineralization discovered to date closer to next fall...
Caspiche will not be sold on the basis of inferred data or only partial discovery drilling at anything less than a premium, unless of course there is a hostile takeover.
what general price expectations does the company have for an insitu ozof inferred gold... with the copper included in that gold price......
I don't know what the company expectation is, but it is very difficult to answer this type of question. Plant cost is huge so by far the biggest component of the NPV model is going to be amortization. Cerro Casale will have low strip ratio and has secured water rights, how do those get factored into pricing Caspiche?
woultd the company ask for higher then the $42 per oz or so paid forthe nearby deposits of marte and lobo by kinross? ... because of thecopper
Those are totally different deposits, mostly oxide like the blanket on top of Caspiche. We cannot make comparisons like "$42 per oz" on a linear basis. In general the larger the deposit the more per oz. it will be worth since some minimum is required to cover plant construction after which the rest is pure gravy. This is less true for oxide heap l leach operations. My guess is that if Caspiche can get above the 500 million tonne range then $50 per oz could be a reasonable number.
is the company prepared to do the legwork to upgrade caspiche to higher valued indicated and or measured reserves...
As I just noted, there is a key threshold that needs to be achieved before the majors will start to really salivate, my guess is 500Mt in M&I as a minimum.
what would be the minimum ounceage the company figures it would have toattain at caspiche to give this project world class status... that isenough ounceage to make the majors interested in purchasing theproject... 5 million ozs? 7 million ozs?
By now we are beating a dead horse but once again there is a threshold minimum required to cover the upfront infrastructure cost. My guess is the deposit starts looking very attractive above 500Mt grading 0.75g/t and 0.30% copper. According to my math, that is 12 million oz. gold and 3 billion pounds copper potentially valued at $600 million in situ using $50/oz. gold. Exeter will have to pay some desk jockey geos a pretty mint to come up with a real answer.