The last two minutes of the trading day helped put a nice shine on today's close. It is sitting on top of a really solid support level of 1.29 and there is really nothing in its way up to 1.45. Still a lot of bearish metrics, but if you look at the trends the Momentum has been on a very gradual uptrend since end of May, and the MACD crossed over as of last week's Nassara announcement. Yesterdays reversal candle was confirmed with a nice solid candle today.
In terms of estimate, here is a different way of trying to estimate the ozs.....Working from Randgold's study, and for ease of math let's say it was 2.5M ozs, at 1.01 g/t that translates into approximately 71M tons of ore-containing rock. Cut that by 1/3rd due to the drilling depth differential, and you end up with approximately 47M tons of ore-containing rock. I have tried to guess how much more area VTR has included, because Randgold's study was primarily based on a strike length of 650m (correct?) whereas VTR has extended the strike-length to almost 900m. The north and south ends narrow out, but they still contain enough g/t to make it feasible to mine. A conservative estimate for additionaly material then might be as little as 5%, so that ups the tons to at least 50M tons. I'm willing to bet a body-part that the g/t is going to improve and I've guessed at 1.54, but to be conservative for the first estimate, let's go with 1.25 g/t. Do the math on 50M tons at 1.25 g/t and you get approx 2.2M ozs. Even if the g/t doesn't improve (which I can't believe based on the quality of section 5200 and some of the other results) the worst case should be 1.8M. On the more optimistic side, the math on 1.54 g/t works out to approx 2.7M ozs. So, the potential could be somewhere between 2.2M and 2.7M. Any major flaws in my reasoning?
eebler