Peregrine Diamonds Ltd. PGDIF

RE:Deep drill this summer?

[Kidlapik]

SWY = Underground mine, large road built, far more remote, bigger mill
MPV = Much bigger mill size
DDC = Under lakes, much bigger mill size
Victor = Much bigger operation, 2.7million tonnes a year

If you want a REASONABLE apples to apples example look at the Jericho Mine that is now shuttered. Firstly it is important to note it was a terrible pipe to develop, nowhere NEAR a CH-6 quality, and that project was around $300-400CA million start-up capex in todays dollars. It was a small open-pit mine in Nunavut that milled 1.2million tonnes a year which for CH-6 would equate to 2.94million carats a year.

Why do you think their capex estimates for a 2million carat a year mill, or less, are unreasonable at around $500-millionCA? What examples have naysayers here provided for their touted $1-billion+ capex costs? None.

To get 2-million carats out of CH-6 you would only need to mill 815,000 tonnes of rock a year. Literally less than a third of Victor, or the other larger open pit operations so why do you believe it would cost the same price to build? You dont buy a bus when you can transport everybody in a midsize sedan.