Making the grade: understanding exploration results "GOLD: It is usually reported in grams per tonne (or g/t), although sometimes, in the US, it is in oz/ton. A gram of gold is worth about $25, so 2 grams or better would be viewed as high-grade for bulk tonnage mining. One hundred metres of good grade is again good criteria for thickness.
As a spectacular example, Aurelian Resources announced intercepts of 216 metres grading 12.8 grams gold/tonne from its Fruta Del Norte deposit in Ecuador, now owned by Lundin Gold. This result is truly exceptional in terms of grade and thickness, and propelled the stock from $2 to over $22 in 2006. However, this extreme grade and thickness only comes along once every 10 years or so."
see full article here:
https://www.mining.com/web/what-you-need-to-know-about-the-grade-of-a-gold-mine/
For fun: Let's assume ELD is going to expereience similar market reaction tomorrow.
Aurelian Resources experienced >1000% upside for 216 metres grading 12.8 grams gold/tonne. ELD intercepted 25.44 g/t Au over 3.5 m. If x=216/3.5 & y=25.44/12.8, tomorrow upside will be >(1000%/x) *y or >30%.
That was for fun only!