RE: Analyze This................
Mineral estimations must now conform to National Instrument 43-101, Standards of Disclosure For Mineral Projects. For definitions, NI 43-101 references CIM, Canadian Institute of Mining, Metallurgy and Petroleum, as the CIM Standards on Mineral Resources and Reserves Definitions and Guidelines. Below is the policy and definitions as specified and links to their location.
A mineral resource is a concentration or occurrence of natural, solid, inorganic or fossilized organic material in or on the earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a mineral resource are known, estimated or interpreted from specific geological evidence and knowledge.
There are three categories of mineral resources:
1) An inferred mineral resource is that part of a mineral resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.
2) An indicated mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical characteristics, can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed.
3) A measured mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic parameters, to support production planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough to confirm both geological and grade continuity.
A mineral reserve is the economically mineable part of a measured or indicated mineral resource demonstrated by at least a preliminary feasibility study. This study must include adequate information on mining, processing, metallurgical, economic and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified. A mineral reserve includes diluting materials and allowances for losses that may occur when the material is mined.
There are two categories of mineral reserves:
1) A probable mineral reserve is the economically mineable part of an indicated, and in some circumstances, a measured mineral resource demonstrated by at least a preliminary feasibility study. This study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified.
2) A proven mineral reserve is the economically mineable part of a measured mineral resource demonstrated by at least a preliminary feasibility study. This study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction is justified.
The CSA (Canadian Securities Administrators) recognize that definitions of mineral resources and mineral reserves continue to evolve in the industry. Changes to the definitions of mineral resources and mineral reserves adopted by the CIM will automatically be incorporated by reference into the rule.
CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines https://www.cim.org/definitions/CIMdef1.pdf
43-101 - Standards of Disclosure For Mineral Projects
https://www.bcsc.bc.ca/policy.asp?id=1026
As for how this pertains to Al Hariqah – it doesn’t as of yet! The previous 28 holes drilled into the deposit were completed in the days prior to establishment of 43-101. Based on that CD, had a third party look at the data produced and the third party came up with the figure of 16Mt @1.65g/t., with potential for increase as I previously stated. The current drilling program at Al Hariqah , (45 holes) should further us toward a 43-101 defined resource, although there will still be work to be done to be compliant. (infill drilling, etc.)
So at this time as Bandi10 stated either you believe Chuck has goods in the ground or you don’t. Obviously at this point if many believe he has the resource, they feel he will be years getting it out, hence the stagnant share price as you conclude. For those with that opinion – it is well past time to move on.
P10