KCN 0.80% $1.25 kingsgate consolidated limited.

Grade would make a huge difference.100 tonne load truck.0.8g/t -...

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    Grade would make a huge difference.

    100 tonne load truck.
    0.8g/t - 80g gold included in the truck load.
    5g/t - 500g gold included in the truck load.

    In both cases, the cost of trucking is the same (for the same distance). The 5g/t ore would be viable out to a transportation distance many times greater than the 0.8g/t ore.

    I'd imagine a viable 'satellite pit' is small and high grade. Too small for investment into a plant, but high enough grade that trucking is still cost effective.

    Small and high grade - viable for trucking.
    Small and low grade - maybe unviable.
    Large and low grade - viable for a plant.
    Large and high grade - viable for a huge plant, or a very profitable smaller plant (though sub-optimal compared to huge plant, otherwise you'd see RIO etc building small plants).
 
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