USL 7.89% 17.5¢ unico silver limited

One headline I've always been confused with in this...

  1. 41 Posts.
    lightbulb Created with Sketch. 47
    One headline I've always been confused with in this co's presos is "epithermal vein deposits are made not found" (see page 7). I don't really know what the co is trying to get at with this statement. A strap line statement should be easy to understand. I get that there's potentially going to be a lot of veins and a critical mass is needed to get a mine started (maybe this is the "made" part but to me it's just exploration and resource extension - ie finding stuff). The back-up example on page 7 goes onto say it took 18 years and 591 holes to reveal the full potential of Cerro Negro, 12 years of which was spent finding the first million ounces. The chart on page 7 outlines the 5 companies that spent $ on the way to uncovering the full potential (E2M stops short of telling us how many $ were spent unlocking the full potential). An important, well I think anyway, factor is that most of those companies were cash producing, which tells me these deposit types are better off being patiently explored out of discretionary budget. The page 7 slide is almost saying that E2M isn't the right kind of company to sustain the unlocking phase of deposits of this type. I reckon they should just drop this slide as the rest are ok and make a bit more sense.
    I think E2M has some good geos running the show but when it comes to corporate messaging, they lose their way a bit. I think they're far better off messaging about the size of the prize (which they do but it's buried in page 7) and then telling the market what they're doing to shrink that timeline that Cerro Negro was found under (Intel Property, advanced expl tech etc). Or they could say that they're looking for X million ounces as a minimum if the timeline to achieve that in their view is considerably less than 12 years, let alone 18!
    I used to hold but cashed out at a bit of a loss a while ago. I really hope these guys can do it; I think they're better off telling us what they're doing differently (if they can) to the Cerro Negro precedent. Maybe this is why those subst holders got the sh!ts and wanted a change out a while ago...not sure.
    Thoughts? Care factor?!
    Cheers
    KS
    DYOR
 
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