RE:RE:RE:RE:RE:RE:RE:RE:For those not able to watch the briefing yesterday Is this really that hard for people here to grasp? The pregnant solution gets pumped from the HLP to the ADR. It then goes through a process to extract the gold from the pregnant solution and creates a sludge that is then smelted and produced into gold bars. The processed solution then would normally get retreated (i.e. more cyanide added) and then the solution pumped back up to the HLP and the process continues.
My guess (and this is only a guess here because this is what I would be doing) is that the company is extracting the gold at the ADR (as much as then can) but is NOT adding cyanide to the solution that is being pumped back up to the pad and so over time the srength of cyanide in the ore solution still on the pad will slowly diminish. This is exactly what the need to do because they have no where else to put the pregnant solution that left containment. That's the watered down simple description. If you want the technical details on how the ADR plant works, go to the Technical Report, everything is there.
So after the slide and the ~ 2 million tons of ore (of the estimated 4 million tons of ore) containing 300 million litres of pregnant solution, the company has been containing working hard to contain that solution and has since been pumping it into a storage pond(s). Now do you think the company is going to just leave all that gold in some storage pond? Of course not, they are very likely pumping it to the ADR plant and recovering as much gold as they possibly can. Do you blame them, I sure don't. They clearly need revenue but they also need more space in the ponds that can be accomplished by circulating the solution back onto the HLP so why not, it's a win win is the way I see it? If YTG and or EMR can't figure this out then too bad. My guess is they know this but are letting on like they don't because they know that the more revenue VG can make, the longer they can help and continue to pay to sort this out. And God forbid that the company might still be producing gold when production was halted! Oh wait, VG voluntarily halted production if I recall. Lauren Haney has got a tough job trying to show she is not letting VG get away with anything and that's just politics. VG, keep producing those gold bars and use your left over money wisely and don't jump everytime EMR gets an inkling to write another useless directive. Keep doing exactly what you're doing, asess if the directed action is for the benefit of the YTG and EMR (like the berm and ground water wells) or hepls your cause to get through this mess.
Then you gotta love the media, CBC Darryl Greer asked Lauren how long they''re going to let VG keep getting away with not complying with their directives? When is she going to take the kid gloves off and take this thing over. Typical CBC tree hugging Liberal thinking. Oh I did mention in a previous post how 71% of CBC's revenue comes from the liberal government (don't believe me...Google it). So if you're wondering why VG is still there on site, there's your answer. And the spinoff to all this is if the 3rd party investigation can't prove that the slide was due to the negligence of VG actions and VG can wait this out until the investigative outcome, how do you think they are going to legally shut down the company operations. Go ahead YTG and EMR, give it a go...you got deep pockets and VG's lawyers will be coming for a nice big settlement. Might want to get your checkbook handy just in case.
So how much access to cash and other equity does VG really have if they had a good Q2 and have managed to pour some more gold bars since the slide? Well, that's really hard to say but I'm guessing a bit more than many here think. Husky nailed it the other day when he called this a Gong Show because that's what it is. What, there's a whopping 2 million tons of ore that escaped the pad and about 300 million litres of solution that escaped containment that has been largely contained and is being pumped into ponds pending treatment. Water samples from down stream are showing levels within the water licence levels and many are still running around and yelling the Sky is Falling, the Sky is Falling. Really? Is the sky really fallling? Now the focus by EMR is less about the above ground water and is shifting toward Ground Water concerns, but hey we won;t likely know the full extent for years! Yeah OK, EMR let's just shut down the largest gold miner company in Yukon history because don't ya know, this could still be a catastrophe. Why any mining company woul devery spend a red cent oin the Yukon after this is beyond me. What a Gong Show!
My opinion only
HB77