A lot of the other iron ore projects are lower grade Itabirite/Magnetite. They have had their share prices pushed up on giving big resource figures in the range of 3 to 10 Billion tonnes.
Sundance have concentrated on a resource of DSO because of start up revenue. I have spoken a lot about the likely Itabirite resources that Sundance are likely to have. The more Sundance announce on resource figures of DSO and Itabirite,the more interest they are likely to get from finance/funding partners.Also will bring more interest from the World iron ore industry as a whole.
We know the Itabirite at Mbarga is as wide at 500to 600mt deep as it is at the 50mt depth under the DSO cap. We know the Itabirite goes down to at least 600mt and is still open at depth. The resource figure for Mbarga for Itabirite is only down to 400mt depth. Being full width at the 600mt depth,I would imagine it could easily reach 800mt depth for Itabirite. In Brazil some Itabirite mines go down to 1000mt and more. That could then double the resource of Itabirite at Mbarga to around the 5 Billion tonnes. Nabeba is higher than Mbarga at the peak.It also has an average of twice the depth of DSO at close to 100mt depth.Itabirite is also under this DSO cap at Nabeba.
If Sundance did a few deep holes in their infill drilling at Mbarga and Nabeba,it would allow Sundance to announce huge expected Itabirite resource figures. That would then bring them up with the big Itabirite/Magnetite resource companies in West Africa.Plus with the advantage over a lot of the others of having a large DSO Resource.
Sundance have more DSO to drill to update resource figures.They also have a huge amount of strike area that has an amount of DSO and a huge amount of Itabirite still to be added to the resource figures after drilling has been done.
Regards Westcott.
SDL Price at posting:
51.5¢ Sentiment: None Disclosure: Held
