Sorry Spec but you're one of the more frenetic RMS posters that I dislike, based on worrying about the LOM, resource, reserve replacement "problem"/debate that I personally think promotes the totally wrong narrative on this stock. I'm totally relax about the future, based on Mount Magnet's exploration and mining history and based on Samscout's observations of the numerous under-explored deep gold intersections and leads existing under the currently worked open pits. In the end the picture seems to be becoming clear. The gold is associated with the major north-northeast faults that run through the rock package (see the seminal geology of Mt Magnet published by Thompson et al 1990). A picture paints a thousand words. The fault structures provided the path ways for the gold and the rocks were very receptive to the mineralising fluids down to tremendous depths.
Whether it be the deeply mineralised BIF's or now the deeply mineralised porphyries we are finding at MW or at Brown Cow or whether it's the open pit resources from the abundant near surface gold developments that the company is currently exploiting and which it purchased from Harmony in 2010 for $A12 per in-ground resource ounce, Magnet is a very productive gold field with plenty of depth potential. Harmony took Hill 50 as far as it could within the bounds of its own corporate objectives, size, and the gold price and the macro economic environment prevailing at the time and then we had the botched sale to Monarch during the period of GFC. RMS came in and have executed the most productive and obvious development options at Magnet (the Harmony open pit expansions), ie the development of the pits in the Galaxy complex. Even the name says it all, look at the intensity of gold mineralisation within the Galaxy complex below. Petty impressive IMO. Of course there is depth potential at Magnet and not just in the immediate Galaxy area.
Magnet is a magnificent gold filed with plenty of untapped potential that the market is totally overlooking. Let's not down play or underestimate what we've got in our own backyard, one of the best goldfields in WA. The bigger gold players will figure it out soon enough when we get another BIF UG operation going again. The porphyries will become the base load feed. By the way I'm keeping my eye on MGV's drill out at BOD. Chances are there might be opportunity for RMS there if MGV can prove that the gold system there becomes wider at depth and has reasonable lateral extent and depth continuity. Eshmun
RMS Price at posting:
47.0¢ Sentiment: Hold Disclosure: Held
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