TSXV:AUN.H - Post by User
Comment by
RenRokon Apr 14, 2012 3:15am
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Post# 19793675
Great Update
Great Update Yes, very nice update in this presentation.....
Le Negra resource update coming this month, should almost double the resources--adding appox 1 million tons(currently 1.22million tons).....another resource update coming in the fall from the previously unexplored deeper areas-- all ore bodies open at depth---looking to certify an additional 3 to 4 million tons......those are some huge potential upgrades, if they can pull off that kind of tonnage with the same type of grades they are used to seeing, then La Negra would be looking at a 400% to 500% resource upgrade between now and sometime in the fall..........this is exactly what AUN needs---I think the one knock on AUN has been their lack reserves, even though it is obvious to most people that there is still lots silver there.....they still have to prove it to the market, and after hearing this update from Lenic it sounds like they are well on their way to doing that at Le Negra.......one more thing I forgot --- they expect to increase their mined grade by about 10% this year.
As far as Shafter goes ......the plant is already being commissioned --they expect to achieve commercial production in record time......they will start pouring some silver next week.....they have an all-in cost for acquiring and developing the Shafter Mine at $90 million and will cash flow over $100 million in the first year of operation (that is over 100% IRR and is basically unheard of)......going to start mining now on the decline in block 3 which is about 100 feet longer than they originally thought, so should have about 200,000 more tons at approx 6 oz/ton in this area that is not included in resource estimate and also another 200,000 tons somewhere near surface they will be mining that is not included in the RE.....currently two drill rigs exploring underground at Shafter--its open on strike and at depth and they expect to have very good drill results to report by the time of the grand opening at Shafter June 1st.
GL,
Ren