Had a more detailed look at the announcement.IMHO. When your drilling somewhat invalidates earlier surface EM and broad spaced mag it tends to throw up a lot of questions. In general, I'd support what Binwood had to say high enough grade means more plant feed well down the track.
My interpretation of what we have here in the most general terms is what we are faced with at Succoth. We are hitting ore grades but we have little idea of the underlying geological model that underpins it. However, from a (much?) longer-term point of view, we are putting in place the elements of building a mining camp by changing their exploration technique and targeted drilling
In mining companies, that are a success like metal-guy proposes. say like WSA (Western Areas). When you have a discovery you prove that up it supports a mine and then you go to the surrounds to find more ore. (not least because the underlying geological for the metal appearing in concentration is right there sometimes called proto-ore).
What you do find is hints some ore but in geological structures, you didn't expect but have to interpret to build a model. The geo's do that by mapping the structures in the drill holes the do put down (and a lot of head scratching). We are very lucky that Salpetie gives us an insight into the process and his view.
The upside is the next leg of value creation by lower cost targeted exploration leveraging on your plant supported by the metal price if and when warranted.
Sorry if I've bored you or you know this already.
CZI Price at posting:
9.8¢ Sentiment: Hold Disclosure: Held
