re: Ann: FURTHER EXCELLENT DRILLING RESULTS F... Peter and...

re: Ann: FURTHER EXCELLENT DRILLING RESULTS F... Peter and 2ic

Yesterday I sent an email to Magma regarding the mining and have just received a reply from the MD. Very prompt!!

Ever since following MMB I have taken all results to a very good friend who heads an independent consultancy, runs the rule over prospectus and BFS and other claims. He continues to be impressed with the prospect, the grades and depth, as well as the pl/pd ratios, and has bought shares. He says that with the spacing of the diamond holes they will go straight to a measured reserve. Of course you are correct in being cautious because so many variables come into play. I also like the fact that Anglo had enough faith to put money into MMB. But time will tell. No balls, no blue chips.

Anyway, here is Magma's reply re mining.


Leslie



About half the mineralization found so far occurs under Current Lake. At this stage we believe the best approach to extracting the mineralization in this area is by open-cut methods, although this has not yet been subject to a mining study. At this stage, constructing a cofferdam to isolate the northern part of the lake and draining the southern part of the lake appears to be the best option for developing an open-pit. This is a relatively simple engineering exercise which has been undertaken at several mines in Canada. Gaining environmental approval for such an undertaking will no doubt be a challenge, as it was for the other Canadian miners who have adopted this approach. However, at this stage, we have no reason to believe we can’t achieve this outcome if we follow the appropriate environmental permitting procedures.


I hope this answers your questions.

Regards


Keith Watkins

Managing Director

Magma Metals Limited