I don't dissagree that the BH resource will need to expand significantly to make a project viable, but the company seems reasonably confident it will. I've been following PNA for many years, and as far back as I can remember, they were targeting 1m oz + at BH.
Here's an extract from an announcement back in 2002: "Mr Stafford said the broadly distributed stockwork mineralisation at Ban Houayxai, geological mapping and extrapolation of the drill results has identified the potential for the deposit to host a mineral resource of over one million ounces with a significant high-grade 'core' averaging 2.5 g/t of gold."
Clearly, Phu Kham is the main game at the moment, but the many other projects on the go, including BH, shouldn't be discounted. BH comes under the same Phu Bia project banner as Phu Kham (and is only 25kms away). Maybe BH might turn out to be just as big as Phu Kham?
Plenty of upside IMO. Anyway, lets agree to dissagree on this one.
Agree that short term sentiment will surround op costs. We know they'll be higher than feasibility study, question is how much. Not long until we find out. In my view, I don't think we'll get too nasty a surprise, but who knows. Op cost will come down with project 100 though.
Out of interest, which mines have your worked on and for who? I'm with Rio and have worked on a couple of their copper projects, most recently for Kennecott Utah Copper, a Rio subsidiary in the US. We may have crossed paths? It's a surprisingly small industry.
Cheers
PNA Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
