A few points from the presentation
While the presenter did his best in a difficult situation, (been there many times) I agree it lacked the pizazz factor that we would have like to have. However, all is not lost, not by a long shot. Here are a couple of points mentioned in the presentation that I REALLY liked.
At the beginning he says:
"We still look at more ways of buying properites in the camp"
Given the camp is completely surrounded by BAR properites, I would say this is a clear reference to the fact that they are in negotiations with BAR for the area 52 property, and possibly the area 50 to the north west so they can follow this beast in both directions.
Bar made it crystal clear in their presentation that they are drilling area 52 for the sole purpose of having someone buy it. I would be willing to bet that it was WM managment that told them to go drill the border to prove there was gold worth buying the property for. Clever on their part to save the cost of having to drill it themselves.
I also like the comment about the bulk sample paying for 2100 meters of underground development infrastructure. This will make it a turn key operation when they do the second bulk sample, and more importaty when they start production of 550 tpd.
Perhpas the most important piece of information was the following:
'we have two veins, cayanne and tabasco, and we have traced them down to 600 meters in depth, and on the upper levels they are 1-2 meters thick, but at depth are now 10 -20 meters thick.
The fact that these veins are 10 times thicker at 600 meters is HUGE from a geology point of view. Molten gold comes from deep down in the mantle and is pushed up in huge thich channels, and as it gets closer to the surface and it hits harder less permeable rock, it flows into the cracks it can find, into softer rocks like quartz, and becomes thinner and thinner in veins.
So if you can reverse this process, and find the same veins that thicken (by TEN times) as you go down, then my friends, you are truely onto something. In the diagarms of the last PR it was clear many of the veins and zones were converging as they deepened, and just like cayanne an tabasco, thickening.
They used to say all roads lead to Rome, well in this case, all roads (veins) lead to the source of this gold system. And if they continue to follow this and hit the giant channel of gold that delivered this to us, then ladies and gentlemen we all retire, as that is what is called the MOTHER LODE.
Another good piece of information is that they have:
"already applied for the production permit for the main gabbro zone, and we are hoping to have that in place by this time next year"
and " we feel that this main gabbro zone is 10 - 12 grams per ton"
(quick napkin math - 500 tpd @ 10 gpt = 166 oz per day, or $120,000 +) PER DAY
He then goes into talking about what many of us have pointed out to the newly arrived basher collective, that the second bulk sample will continue to pay for the exploration costs, and then the 500 tpd production will take over from there. ( ie. NO more dilution.)
Hey then says they are looking to unlock the value of the sudbury assets, "so we can stay totally focused on the gold opportunity presented to us"
-- It sounds to me like they are alluding to selling them. Now someone on the board suggested they might actually trade these to BAR (who is in the nickle business) as part of a deal to secure more land around Fenelon (area 50 and 52) and I think this would be a GREAT way to go about doing it. Both companies get what they want and need, and both have to shell out very little cash or shares.
So, while it may not have been the laser Floyd show we all would have liked to dazzle the audience, I feel it was a very solid, factual, informative and on point presentation that continues to demonstrate that we are sitting on a huge and growing ore body at the hands of a highly experience and competent management team. I'll invest (and continue to invest) in a company like that all day long!
Cheers all,
Jefe de Oro