Hi sam0408,
I had some time to read the report last night.
It looks as though they are trying to move about 30mt detrital DSO into a classification that'll be able to be used for the PFS.
That could possibly underpin a LOM of 7-8 years @ 5mpta with a 12-24 month start up at lower capacity. This is assuming very low strip ratio, which I think would be correct for a detrital deposit.
Need to factor in current metallurgical results also though, that show detrital recoveries to be 51-67%. So the 30mt detrital might produce 15mt-20mt saleable product?
It would've been nice to be able to be aiming to get a little bit more than 30mt into the PFS is 5mpta is the goal, but I also understand that once you start getting out more than 8-10 years LOM the NPV doesn't change a great deal for each year added. Management probably had to weigh up cost of drilling and speed in getting the PFS to the market against benefits of getting more than 30mt into the PFS.
My guess is that management will be trying to move this as quickly as possible given the current IO market, and this would have weighed on their decision to concentrate on moving only 30mt into a classification able to be used in the PFS.
Cheers!
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