What is the story on high trenching/chip samplingTime and time again I see extremely high results from trenching that rarely translate into drilling results. Why is this. I mean, 20 plus meters of 80 plus grams/ton is obsenely good. Is there any reason why such results diverge from drilling horizonally from this area, is there any reason why surface grades should be higher? How exactly does trenching work, and why do I always see high resutls that never represent anything near the ultimate reverse/resource in an area once an indepth drill programe has taken place.
I haven't been able to resist hopping aboard here. First found out about it through hard rock analyst, and although I usually go for producers, the risk vs reward look very good here, as even if the bonanza grades don't come through, it looks like they have enough for 3 mill oz resource that should give us downside protection.
From what I undestand processing sulphide deposites required more cap ex than an oxide. What kind of cap ex should one figure, to produce 150,000 ozs annauly of gold here, assuming the 1.5 g/ton avg grade. That's of course if these trenching results for whatever reason don't translate into a large addition of high grade ore to the project.
Thanks in advance