REZ has most recently identified a significantly mineralized zone at Goodenough that measures 360m x 70m x 40m x 2.5t = 2,520,000 mt. Existing Indicated JORC grade at Goodenough is 1.84 g/t au. So my guesstimate is 2.52Mt x 1.84 g/t = 149,574 gold in that zone. So this almost quadruples the existing JORC Indicated Resource. The JV partners can utilize existing open pit processing infrastructure that abuts at Venn to reduce CAPEX and fast track to production. Assume one third of my guesstimate is extracted and refined as gold bars. That is 50,000 ounces at A$3050 = $152,500,000. Assume LOM of 36 months/ 3 years and ASIC of $2,000 for free cashflow of $17,500,000 on an annualized basis. So 50% to REZ is $8,750,000 annualized.
Please note that these comments are speculative guesstimates that are partially based on most recent drilling data and commentary. IMHO upside here is very significant. Good luck to all longs.
REZ Price at posting:
1.6¢ Sentiment: Buy Disclosure: Held
