RE:New PEAMackthenife wrote: Can’t wait for a new PEA if grades continue to go higher. If we are close to 1 GPT it will lower our all in cost by about $140.00. Fuel and wages will be a little more, but taxes may still be lower. All in all we should be in between $700.00 and $750.00 with ? Gold price. Potentially very good economics.
Hi Mackthenife,
The updated PEA will not be until next year, likely next spring/summer at the earlist assuming they do it after the FY 2021 program is completed. Completing the 40,000 metre program with all assays will take this year into early next at the pace we are going. There is also the time it takes to get a PEA done. I am also not sure why they would not want to come up with an updated global resource 43-101 first?
On the second point. The all in cost will not be $700-$750 and I do not think anyone ever even imagined that since this project gets interesting at $1750USD gold and above. All in costs are typically that low or in rare cases even lower for high grade underground operations. My guess is that all in costs would be what they are for large lower grade pen pit operations. Well over 1000USD. However, I think this is all way to premature. They need to drill this out which can change the type of mining operation they could be in the future. In theory, if they could determine higher grade zones or corridors, the type of mining operation would change.
At this point, I want them to drill and create lots of gold ounces. Hopefully find higher grade zones/corridors and perhaps new exploraiton targets. Creat in-situ value which will drive the stock price higher. Once they do that, they likely will get taken over. Sprott is not here to build a mine in my view and I certainly will not be here that long either.
GLTA
BC