EZE have spent 3 years looking for a deposit like this and it was very difficult to find.
They are really happy with this find and optimistic because a lot of research has been done previously, and decision not to continue by others was not relevant to potential success of this deposit, but rather size. One previous company was looking for 100 MT mine, not 50 MT.
With all the previous work done there is a lot known about the deposit, but not enough to provide certainty. The geophysical survey in June/July will give a good idea of the potential of the deposit, drilling will still take a few months to set up (as per announcement).
Steep terrain is normal for mining in that part of the world, and essentially means more involved access roads.
Thoughts about a possible smelter are too early, as different smelters can suit different compositions of ore.
If the composition is as suggested, it should suit a number of smelters.
Eze have a clear understanding of the need for timely company announcements.
They are disappointed with the SP retrace after the spike following the news, and this was affected by the negative reaction to the US markets, however anticipating very positive SP reaction to news in the near future.
I have been doing some further research on the infrastructure of the area (Port, Smelters, Mines) which I will post separately, but a couple of points: The deposit is very close to the Chile North-South Highway 1. (1.4 km), and about 95km from a massive Xtrata smelter. See attached google earth picture.
Cheers,
John S.
Yes ...I made contact -there are humans out there!
EZE Price at posting:
4.5¢ Sentiment: Buy Disclosure: Held
