DCN 0.00% 28.5¢ dacian gold limited

Ann: Production Update and FY 2019 Guidance, page-109

  1. 12,259 Posts.
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    Let's do the ozpvm another way using the feasibilty study metrics that you posted.

    Beresford

    Orebody strike length =1,140m
    Average ore body width = 2.7m
    Orebody grade (stope grade) = 4.7g/t
    Ore density = 5 to 5.3 g/cm3

    DCN doesn't state the denisty of the banded iron formation ore in the JORC notes (page 86) under bulk density in the 2016 feasibilty study . They just say they based their feasibilty on 11,450 density measurements taken at Westralia between 2013 and 2016. My specific gravity range of 5 to 5.3 comes from this website

    https://rocks.comparenature.com/en/properties-of-banded-iron-formation/model-60-6

    To be even more conservative I'll use a number of 4.5 for the specific gravity which might be more representative of a silca rich BIF (if anyone has a more representative number for Westralia itself please post).

    Now if we assume a vertically dipping orebody and a 2.7m average true width, a strike length of 1,140m would have a volume of 1,140m x2.7m x 1m = 3,078m3 and contain 13,851 tonnes pf ore at 4.5 g/cm3. At a grade of 4.7g/t the ore body at Beresford (assuming a vertical dip) would contain 65,099g per vertical metre

    or 2,093 oz per vertical metre.

    From the information in the table you supplied Beresford dips at 60 - 80 deg to the east so would contain even more gold per vertical metre (see my drawing below showing the effect on the orebodies cross-sectional area for vertical and dipping ore bodies, W is the same width in each case).

    So based on my my specific gravity assumption of 4.5 (which is probably conservative ....I'll try and find a better number from the scientific literature if I can) and the numbers from the feasibilty table you posted I get

    ozspervm for the Beresford deposit of greater than >2,093 OVM

    You calculated 752 ozspervm for Beresford using your "vertical extent of the reserves as estimated on the graphics" method. Big difference between my method and yours and my method gives >1,000 ozspervm per decilne for Beresford which is more than your rule of thumb to achieve an AISC of <$1,000/oz. Esh

    8BE3FD84-AB96-4462-8F9F-9AA6CE59D7A9.jpeg
 
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