Only "34km long at 1%" and a few areas with higher grades of both Nickel and Copper, and importantly cobalt as well.
These are all the ingredients /metals needed for an Electric Vehicle future, so I would expect the prices of all to rise over the next few years.
It is fairly obvious to me that there are billions of tonnes of low grade mineralisation over this 34-40km zone with some much higher grade areas many not discovered yet.
We are just getting our teeth stuck into another major find, that is probably also a couple of hundred million tonnes worth, especially if we are only on the edge of it still.
The whole system has billions of dollars worth of minerals, and IMO the original premise of looking for just small higher grade pods is not going to tb the correct way to access the minerals here. IMO we should be following the Aitik model of a huge scale mine that can mine down to .5% grade of whatever, be it Ni, Cu or even just high grade Co at .1%.
The Aitik mine of Bolidens runs everything off electricity and is a 40Mt/a operation, mining .2% copper profitably. Yes it would cost a lot of money to build, and perhaps the plan is to start on the smaller high grade pods and work our way up in size on cashflow, which I would see as a terrific idea.
This area has both amounts of both wind and solar energy, and using as much as possible of both will be a huge benefit and opex saving, as the highest cost item out in remote locations is energy, or specifically diesel, and just getting it out there.
Solar, wind and lithium-ion batteries of grid scale size are what we will need in the future to kill the operating cost, while the automation of as many aspects as possible should also be in the planning.
There is no doubt in my mind that there will one day be a huge mine out here that generates billions of dollars profits to the owners. I only hope that Cassini will still be part of it and not taken out by our partners.
At 6c we have a MC of $16.5M, when 30% ownership of this asset should be worth over a $1B IMO, and one day will be.
Ann: Results Confirm Significant Discovery at One Tree Hill, page-9
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