GREY:PGDIF - Post by User
Comment by
ekimon Jun 22, 2016 7:35pm
95 Views
Post# 24989219
RE:RE:RE:RE:Core drilling for 2017
RE:RE:RE:RE:Core drilling for 2017no worries.
It looks like we have had a sneak peak at the operaitng cost as well.
CH6 operating cost in the technical report look are higher then ch7.
Tells me that they are putting the mill as close to ch7 as possible.
It makes sense because of the other kimberlites near ch7.
It also helps strengthen the profit margin on ch7 ore..which is not nearly as strong as ch6 by a large amount.
The operating cost look relatively high especially the G&A and process.
The G&A would include the maintenance of a seasonal ice road...so my gut says that they are leaning toward that instead of an all season road for this study.
One reason for doing that is clearly optics on the capital cost.
Picking the ice road for this study may clearly show the market the lowest capital cost that is possible.
I think the all season road will come in later as they build up the project and the synergies clearly show themselves. Right now it is all about economics and more importantly the need to show a reasonable capital cost.
We will see.
LONG...PGD
EKIM