UNITED NORTH,Youanmi Main and Pollard are the main targets for converting inferred gold to indicated.Of the 3, United North is being drilled the most.
The mineralisation type here is uncommon altered granite, chlorite-carbonate in mafics, and quartz-kaolin in granite, the host for high-grade, low-refractory (high recovery) gold lodes at Youanmi.
Fig 1 (below) shows the indicated gold in green and the inferred stopes being drilled in purple at United North.
Fig 2 shows the drilling results before the current campaign.
Note that the lode is open at depth. Also, note that the inferred gold is close to the existing or planned underground infrastructure.
This means it can be mined inexpensively, i.e. the AISC will be consistent with the PFS at around A$1,676 oz Au.
Most if not all, of the new indicated gold will go straight into the mining plan.
I estimate that United North will add around 100Koz to the mining plan, making a total Reserve of 646koz calculated at a very low A$ 2,600/oz.
Then we have more gold coming from Youanmi Main and Pollard, which is also the best chance for a major discovery.
Wondering why Rox didn’t do this drilling before the PFS?
If they had the targets mentioned by Rob Ryan, would likely have been met and the share price would have gone up instead of crashing to a ten-year low.
I suppose they had announced the date of the PFS so many times they felt they couldn’t change it, but they should have imo.
The current spot price of gold is $3,935/oz with a consensus $4,000/oz+ within 6 months.
Plugging an assumed gold price of $3,500 into the PFS metrics adds much more of the MRE to the DFS mining plan.
Rox is looking very cheap at a market value of $53m.
Is Rox worth only 1/9th of Santana Minerals ($468M)?
(20min delay)