NFG Gold Ounces Calibrated to Detour Lake Pits times I shall use DL gold reserves whuch were 15.8 million ounces at an average grade of 0.97 grams per ton as of Dec 30 2020.
Meters drilled was 1,760, 000 meters.
DL has three open pits which produced 677,000 ounces in 2023 at a total cost of $690 per ounce .
Under ground has been scoped at 4 m ounces at average 2.5 grams per ton generating 300,000 ounces at total costs of $73a5 per ounce
ie,, DL will average about 1 million ounces per year well beyond 2035.
But, to the task at hand.
We have 15.8 m Reserve ounces divided by 1.76 m meters drilled which is 9 ounces per meter drilled within the three open pits.
7 Prospects of QWN have 336,000 meters drilled at an average grade of 11 grams per ton.
Simply, QWN = 9 times 336,000 meters = 3 million ounces
Grade adjusment is 11 gram / 0.97 grams = 11.3 times 3.0 m ounces
which is 34 million ounces above 300 meters for these 7 prospects.
This is a tad higher than the average of 25 m ounces using the other 4 calibrators.
I find it very interesting that at such low grades ( 0.97 grams per ton ) DL open pits have very low Total costs of $690 per ounce.
( Total Costs - everything including the kitchen sink ) .
One wonders how low the total costs of mining Keats Trench would be , for example, at about 11 grams per ounce, with virtually no costs other than ore excavation, direct shipping to Pine Cove mill and milling costs .
With 10 shallow prospects already identified by early exploration mining ,
converting to possible 10 open pits averaging 12 grams per ton, sequential mining of these shallow discoveries @ 300,000 ounces per year would last about 75 years ( 25 m ounces / 300,000 ounces ).
Divide by 2 to be conservative and we still have at least 35 years of sequential mining of these 10 open pit prospects and still have what is now reasonably possible ,even more ounces below 300 meters .
Divide by 4 if you wish.. and insult my calculations...and there is still enough shallow ounces for over 20 years production @ 300,000 ounces at a total cash cost well below $600 per ounce .
Mind boggling , as Uncle eric would say, looking up from his scientific calculator after intellectually drilling into the essence of the QWN geological model.
Which is another way of saying why there is no significant selling by NFG major holders .
AIMHO
GLTA