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RED EAGLE EXPLORATION LIMITED V.XR

"Red Eagle Exploration Ltd is engaged in the exploration, development and permitting of mineral properties. It owns the California Gold, Vetas Gold and Santa Ana Silver projects."


TSXV:XR - Post by User

Post by myamigoon Nov 10, 2011 12:46pm
519 Views
Post# 19226759

Incorrectly calculated "restated results"?????

Incorrectly calculated "restated results"?????It looks like management screwed up the math when calculating the top-cutted results. Today's NR references a blog post by Brent Cook in which he "removed the impressive 2.09-metre intercept from the company's 40.89-metre high-grade interval of 17.17 g/t gold and revealed a 38.8-metre interval of 1.04 g/t gold."

We can use this information to build our own table for each of the three mineral bearing intervals from 31.32m - 146.30m and include calculations for the proposed top-cuts. I did that and uploaded my spreadsheet to Google docs (love that feature). I found that while the restated results indicate 2.54 g/twith a 60 g/t top cut and 1.20 g/t with a 15 g/t top cut I get corresponding values of 2.86 g/t and 2.04 g/trespecively.

Check it out yourself...
https://docs.google.com/spreadsheet/ccc?key=0Av4HDUhZx39QdFFvOGUySVFFcnlHaENReWFlOGlYZ3c#gid=0

You can't edit the spreadsheet but you can see the formulas by clicking in a cell and checking what is displayed next to the "fx" symbol near the top of the sheet. You will also notice that the original 7.57 g/t value should be 7.52 g/t based on the numbers they supplied.

Assuming that my math is good the implication is that the results are actually 12.5% better than suggested with a 60 g/t top-cutand 70% better than suggested with a 15 g/t top-cut. Someone... please check this out and if you can confirm what I have found we should press the company to restate the results again.

Looking forward let's not forget about the 30.35m interval. This is very rich and all you have to do is dig out a little dirt to get to it.

From the 2011-10-24 news release...
+ "assays pending for the remainder of the hole to depth 442.90 metres"
+ "The subsequent five holes from this platform have also logged significant
zones of mineralization and intercepts of visible gold, as well as six holes
from neighbouring platforms drilled into the same structural zone.
Assays are pending for these holes."
+ "The company is currently drilling holes 62, 63 and 64 and assays are pending
on 25 holes
. Results are still pending for holes which contain comparably
encouraging visual indications of mineralization
, including intercepts with
visible gold at both the Real Minera and El Dorado zones. The company expects
to release the results of continued drilling of the high-grade veins at El
Dorado in the near term."

I have no doubt that the news, good and bad, is being timed for optimal benefit. This is worth waiting for.

Keeping the faith!
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