General Chat, page-2109

There are resources, and there are reserves.

Resources get upgraded to reserves with economic studies, such as feasibility studies.

Resources can be classified as inferred, indicated, or measured. Either of these three resource classifications do not require any economic studies at all, they are defined exclusively by geologic confidence, which is in turn primarily driven by drill hole density.

Resource classifications requires a geologic model and a resource estimation into a block model, and it must be done by an ASX compliant 'competent geologist'. Companies like NVA do not staff full time such people, so its is actually quite expensive as they need to contract it out.

The upcoming 'prelim SS' will almost certainly not include an re-classification of our resource, as creating a new geologic model and accompanying resource estimation is out of scope, especially since we just paid for one.

An important note is this, inferred resource cannot be upgraded to a reserve, only measured and indicated can be upgraded.




Google 'JORC code' for more information.