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Newstrike Capital Inc NWSKF



GREY:NWSKF - Post by User

Bullboard Posts
Post by digger144on Jul 24, 2012 9:14pm
326 Views
Post# 20148772

Ventana Resources...

Ventana Resources...

Yes...what a story that was!

However, we must remember that it is going to be an Underground Mine...not an Open Pit Operation that Ana Paula will become.

https://www.marketwire.com/press-release/ventana-announces-positive-scoping-study-results-la-bodega-project-initial-ni-43-101-tsx-ven-1348445.htm

An exert from the above will highlight this:

Mining and Processing

Geotechnical work has indicated that the mineralized zone and its host rock are sufficiently competent to support an underground operation planned to produce up to 7,500 tonnes per day. Ore extraction will occur by a sublevel stoping bulk mining method with 20 metre high by 12 metre wide transverse panels. A total of six to eight panels must be active at all times to maintain the planned production rate and paste backfill will be used to fill open voids. The mine will be developed with a decline for personnel, material and equipment access and a vertical shaft for high volume ore transport to the process plant. The shaft will be sunk to an initial depth of 625 metres to facilitate expansion of the production rate for any additional resources discovered at depth.

Also...the capital costs:

The initial capital cost for the La Bodega project is estimated at $297 million and is summarized below:

Mining $25M
Ore transportation $27M
Processing $104M
Tailings storage $19M
Infrastructure $26M
Owners costs $29M
Other indirect costs $3M
EPCM $19M
Contingency $45M
TOTAL $297M

Depending on the end result findings we are most likely looking at capital costs at about

600 million to 800 million dollars. The present costs are about 30 million per 1,000 Tonnes per day.

Example: 25,000 Tonnes per day Operation....25 X 30....750 million dollars.

Ventana's La Bodega Project was quite the prize and in a different class...not a fair comparison in my opinion. It deserved a premium and got it.

Digger144

P.S. The capital costs will be a major factor when the buyer(s) come knocking and must and will affect the offer price accordingly....very important to keep in mind when speculating in regards to coming up with a realistic take-over price.

Bullboard Posts