The reason announced to shareholders for the sudden drop in resource is they took out what was "unlikely to be mined".
Possible reasons why ore was considered "unlikely to be mined" could be . . .
1. Strategy to mine high grade for "focus on rapid cash build"
2. Shortly after the announced reduction in resource, mining switched from the western end to the eastern end . . possibly due to increasing silica levels in the western end.
3. Peter had said in the past that he would mine the slightly lower grade ore on Acacia ridge and blend it . . . Peter stipulated this would be subject to the iron ore price.
MGX Price at posting:
27.0¢ Sentiment: Buy Disclosure: Held
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