In moments of doubt, I find the best reassurance to run through an objective ckecklist.
And with Golden Mile, that begins and ends for me with the Resource Estimate at Quicksilver - p.10 of the
Singapore Mining Day Presentation.
Here's my own take on it, emphasising contained metal:
(Click image to enlarge)Put that in the context of the likely global under-supply of a raft of commodities, including Nickel and Cobalt, as the world 'electrifies' (a theme I have mentioned before -
https://hotcopper.com.au/posts/64024583/single) ...take note of the present LME spot price for Nickel (around $30,000), then do a rough 'in ground' calc on the value of Quicksilver ...and there's reassurance aplenty in my view contra a market cap under $5M - no matter how long it takes!
Especially when Quicksilver ore looks like it's going to be:
1. Cheap and easy to mine (25-year mine life at 1Mt/yr):
- From surface
- Free dig / open cut
- Soft rock mining
And ...
2. Cheap and easy to process
The metallurgical testwork to date shows the saprolitiic (clay-borne) Nickel-Cobalt concentrates can be coaxed from the ore using only 3 basic physical elements:
- Water;
- Gravity; and
- Magnetics
And the 'contaminants' extracted along the way - Silica Aggregate, and Fe-Cr-Ni-Co concentrates - are saleable products in their own right!
Yes, there's plenty of work to be done to prove up the concept and get to PFS/BFS.
But I think the market is getting this
mightily wrong.
