Confidence In Management, Have it! It is a challenging task, for any miner, to make a mine with narrow vein dimensions, a very profitable operation. It has been especially challenging, over the years, for Abcourt, at the Elder mine.
But now, Hinse and company have plenty of experience with this kind of mining.
Elder has been the proving ground. Over the years, lessons have been learned! The company is hugely profitable again. They do this with a blend of ore' that when properly combined, is still valuable while also, lower in grade!
If he was a brewer, I would gladly drink and savor his beer!
The cost of the brew, like his mine of today, would be priced, so even a poor man, gladly would pay!
Amazing!
Like Maudore before, Abcourt Mines has also used remnant ore (vein extensions), that had been left behind, for future use.
There is absolutely nothing wrong with this strategy, in an effort, to increase the life of a mine!
Elder has become an extremely efficient and well run operation. The management team should be extremely proud of their recent accomplishments!
The Sleeping Giant Mine, with its much better grades, is also another challenging mining environment! But management, now has the best skillset, to make the most of this mine.
Using previous company press releases and other historical data, we may come to understand just how much of an untapped high grade gold resource, still remains at the SG mine.
Much of it remains loosely in the realm of 'inferred resources', because the very limited drilling that has already been done, only hints at the present potential. The mostly untested 'Shadow Zone', contains largely unexplored structures, many lying surprising, quite near the surface!
These are mostly very narrow width mineralized structures. But even with their known 15% dilution rate, these veins remain a mineable and extremely valuable asset!
Having previously demonstrated their expertise, Abcourt management knows how to explore and mine them!
The previous owner, Maudore Minerals, had great indications from their drilling results that they could bring the mine, back to its previous glory, as a 50,000 ounce per year producer!
During its past days of production, miners had extracted, one million ounces!
Maudore thought that they could repeat some of that performance. But their days of mining were untimely cut short, by a sudden drop in the price of gold.
But today, by the magic of money printing, governments and their central bankers have created the best of solutions, to come to the aid of the mining industry.
Not only gold and silver miners, now stand to be greatly helped, by unintended governmental financial backing, but every kind of commodity mining company, may now benefit, and over the course of many more years!
https://www.newswire.ca/news-releases/maudore-announces-that-underground-drilling-has-returned-high-grade-gold-at-sleeping-giant-513141291.html "...Maudore's subsidiary, Aurbec Mines Inc. (Aurbec), has received assays from its current underground drilling campaign at the Sleeping Giant mine, located some 80 km north of Amos, Quebec in the Northern Volcanic Zone of the Abitibi Greenstone Belt. These assays include high quality intersections, some of them bearing visible gold, as well as the discovery of a new vein. Greg Struble states that, "these very positive results are a crucial step in our goal to return Sleeping Giant to its historic levels of production of approximately 50k ounces per year. They validate both Maudore's business strategy of moving into gold production through acquisition of the Sleeping Giant mine and mill, and Aurbec's mining strategy of using previously unexploited data to identify and target new and readily accessible resources within the existing mine. The intersection of a new, previously unidentified new vein gives us further encouragement." The drilling campaign has yielded a number of significant intersections of the quality historically typical for this deposit. Several intersections containing visible gold are identified in the hole details attached in the appendix..."
"...Maudore acquired the Sleeping Giant Mine and Milling complex after diligent review of plans and sections led to the conclusion that many gold bearing structures remained unexploited. After the acquisition in March, Maudore began entering the data into a 3D format. This further confirmed the view that there were many structures to exploit. In particular, these included extensions of the gold-bearing quartz veins from the richest part of the historic mine into the "Shaft Shadow", a large wedge-shaped section of untested rock, northwest of the mine shaft, that extends over a kilometre in height and several hundred metres in width. This exceptional exploration target stands alongside and between previous workings in the mine (Figure 1). This area was underexplored during earlier operations because previous mining focused vertically, not horizontally into the Shaft Shadow. Placing the historic drill data into our new 3D model made this potential very clear..."
"...Maudore's subsidiary, Aurbec, initiated current campaign of underground diamond drilling immediately delivered positive results, with two holes increasing the strike extent of the #8, #20 and #30 veins into the Shaft Shadow (Figure 2). These new intersections of the #30 vein have included visible gold. This suggests that historic mining may have stopped in ore. Extensions of these veins into the Shaft Shadow may support mining, if the positive drill results continue.
Deeper in the mine, diamond drilling is testing an area where no previous mining has occurred, in the #16 and 785N Zones. Both have returned significant assays, again including visible gold. Moreover, we have discovered a new vein. We are now following up on these results..."
Maudore went on to mine a few stope extensions to fund further drilling and did some preliminary new ore zone extraction, but the fall in the gold price, stopped them dead in their tracks.
That was it for the SG mine until Abcourt Mines entered the scene. They needed the mill. And their Elder ore had already been toll milled there before.
Renaud Hinse came along at exactly the right time! His window of opportunity opened!
The recent gold price has confirmed the value of his orginal intent.
A late comer to the game,
Yours truly, jumped at the chance, to also take part!
Remaining open to many more pleasant surprises!
All the best! Java