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05/08/14
16:13
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Originally posted by martie
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The grades that BDR have gone through their plant is much lower than it should be. Even with the high grade Duckhead supply the lower grades seen are a huge concern. Maybe 20 to 30% less than they should be.
This may be the prime reason why their guidance has dropped down to 180 to 200k ozs.
Interestingly the remaining resources that are contained within the final Duckhead pit design should in fact be converted to reserves, as they will be mined, stockpiled and processed. Without Duckhead the milled grades would probably be around 0.75 to 0.80 g/t. This is a serious concern and will impact them until they can get it right.
The production of magnetite concentrate stockpiles continue to build but this has been recently down played and we don't know when the company will see any benefit from this.
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Martie, about the grades, the company has stated that it's getting a positive 10% grade reconciliation. I can't recall which orebody that was on or whether it was overall.