If gold can be mined profitably it will be mined profitably. \ There's obviously too much dilution going on with this one - the tunnels are too wide in relation to the (narrow) veins and the gold is distributed in pods. From the look of things it will not be profitable at any scale.
Dilution is what it is and is a constant at whatever scale .. as you need to dig through too much barren earth to get to the gold.
You may start with ore grades of 10g/T , but what you probably end up with is an effective grade of say 0.3 g/T.
KRM is profitable but it has 4-5x wider veins and the effective grades it mines may end up being say 12g/T (not far from its ore grade of 18g/T ) as it has 20 times less dilution compared to CTO.
Minimal dilution is the key to a profitable mine .. not scale so much... and CTO suffers from too much dilution and that will not change.
CTO Price at posting:
8.2¢ Sentiment: None Disclosure: Not Held
