RE:Floatation Plant at Pine Cove Why Asked this is because we are looking at opportunities to keep the Point Rousse mill operating.
We have one of the most modern milling plants in Canada at Point Rousse....everything almost automated.
We have an outstanding plant crew there as well as very experienced mining crew , and a deep water port designed for aggregate export.
Experienced mining crews are hard to come by.
From what can gather, the HammerDown asset needs only 50,000 m of close drilled holes just 10 m deep to fine tune the dilution level needed to ensure that the veins are precisely delineated so that mining benches can be configured.
Once that is done but with local additions, HammerDown ore can be mined by Signal miners and trucked to the Pine cove mill for processing by Signal plant crews.
50,000 ounces at 4.5 gms per ton for 5 years and mix in 65000 ounces of Point Rousse reserves looks like a big winner in my opinion.
MAE will need $75 million or so to replace what we have capable of doing at Point Rousse right now.
They ain't going to get it.
And ffing no, not another spin out as a separate company like they did just recently whose economic return to our company is less than it cost us.
What we should request....F it...demand..is that Point Rouse , be spun out to us shareholders ...many of whom are underwater due to excessive dilution..as a dividend to reward our patience .
I would do it this way...but other suggestions can be considered ..either before or part of acquiring / merging with MAE.. NewCo would combine both assets in a unified production scenario of both HammerDown and Signal NL assets along with their exploration and development projects , converting
shut down assets and latent assets into a vibrant gold production company with at least 5 years of production in the bag, at AISC less than $1000 US per ounce .
Robust cash flows..$41 million HS from HammerDown increased by using extant Point Rousse labor and plant assets..can be used to Adance Orion, and Stoger into additional sources of future production .
Now, Rambler May go bankrupt .
We can process HammerDown at 700 tod .
We have 700 tpd surplus at the Point Cove Mill.
Exactly what Rambler Currentky processes at Nugget Pond.
So, if our FP at Point Rousse can handle copper ( plus gold from Rambler ) , we can make an offer for Rambler assets.
Ramblers problems are its debt, old equipement and long trucking distances from its mine which is close to our Pine Cove Mill.
So, Thats the my unlocking proposal for excellent assets that we will soon shut down and costing us cash.
If supported,,I can easily see a market cap of $75 million which would move above the plimsoll line of
most of our shareholders who are currently underwater.