For those interested ...Although already been discussed, I have...

For those interested ...
Although already been discussed, I have pasted below the announcement released this morning.

A quick overview re GTM, please correct me if necessary.

Cash costs @ A$277 per ounce, (gold currently @ A$554.75), production target nudging 100,000 ounces per annum, carrying A$11m debt whilst capped @ A$62m, bonus clawback court case pending immediately that the market has not (imo) factored in, & left field announcement from an RAB programme, (nb-indicative advanced geochemistry- non JORC compliant), in the Black Snake
prospect with significant continuity of 2ounce+dirt from 15m depth (more or less topsoil!) & impressive follow through grades indicative of an extremely high yielding shallow open-pit in relative proximity to nearby infrastructure ...

Appears quite attractive to me, must be missing something!
: )

I personally believe this is a perfect example of capital structure inhibiting fundamentals & for a patient investor, a purchase volume in anticipation of the inevitable capital reconstruction will yield conservative 25% returns within a relatively short time-frame ...

NB- The above is an opinion only, I have a trading position only but will paradigm-shift if/with the slightest whiff of a recon.

Warm regards!
: )



********



17 January 2005
The Manager
Company Announcements
Australian Stock Exchange Limited
Level 10, 20 Bond Street
SYDNEY NSW 2000
VIA: www.asx.online.com
SUBJECT: HIGH GRADE INTERSECTIONS FROM BLACK SNAKE
We attach herewith the above announcement.
Yours faithfully
Michael Boud
COMPANY SECRETARY
58 PEKO ROAD TENNANT CREEK NT 0860
PO BOX 1244 TENNANT CREEK NT 0861
Telephone 08 8962 4900 Facsimile 08 8962 2900
Email: [email protected]
Website: www.giantsreef.com.au
ABN 71 058 436 794
17 January 2005
HIGH-GRADE INTERSECTIONS FROM BLACK SNAKE
High-grade gold intersections have been returned from recent reconnaisance RAB drilling at the
Black Snake prospect (refer Figure 1) located 15km east-southeast of Tennant Creek. The best
intersections are:
• 14m at 60 g/t gold from 15m in drill hole BSRB032; and
• 11m at 21 g/t gold from 28m in drill hole BSRB027.
In the Company’s announcement dated 15 December 2004, it reported a 70 hole RAB program
(“RAB Program”) was underway and ironstone had been intersected at the Black Snake
prospect with assay results awaited. Following the Christmas break, assay results from the RAB
Program are now being returned and collated. Further significant results from the RAB
Program will be reported when final assay reports are received.
The Black Snake prospect is located in the Peko-Golden Forty Line (“PGFL”), which is the
eastward continuation of the Chariot Mineralised Corridor. The PGFL includes the historic
Peko (414,000 ounces of gold and 147,000 tonnes of copper produced) and Golden Forty (47,000
ounces of gold produced) mines. This line contains several prospective targets, some of which
were included in the RAB Program.
These results (refer Table 1) are from a reconnaissance drilling program designed to test the
continuity and grade of oxide gold mineralisation located by previous explorers beneath and
along strike of an old working. The Black Snake program totaled 270m in 7 holes and was
drilled on 10m cross sections.
Significant results by previous explorers (refer Table 1) over a strike length of approximately
40m returned intersections including:
• 9m at 17 g/t gold from 26m in BSRB008; and
• 13m at 9.5 g/t gold from 11m in BSRB019.
The mineralisation at Black Snake occurs in an oxidised chloritic-ironstone shear zone striking
east-northeast and dipping steeply north. Drill holes BSRB027 and BSRB032 have confirmed the
high-grade tenor of the mineralisation between holes BSRB019 and BSRB008, which are spaced
approximately 20m apart. This RAB drilling indicates the occurrence of two mineralised lenses
approximately 4m apart in the central area, with high-grade mineralisation occurring from
surface to 25m depth.
Additional close-spaced drilling has been planned to define the limits of the two high-grade
lenses, which are open to the west and down-plunge. Shallow RAB drilling on 20m spaced
Giants Reef Mining Limited Page 2 of 4
ASX Release Dated 17 January 2005
sections, and 2 deep RC holes by previous explorers have reduced the potential for strike
extensions to the east and below 80m.
The Company’s Chief Executive Officer and Managing Director Mr Joe Ariti, commented that
“we are very pleased with these early results from the RAB Program, which is targeting
shallow, potentially open pitable gold deposits. These shallow, high-grade intersections at
Black Snake may have identified another high-margin open pit similar to the recently
developed Malbec West deposit”.
“In light of this early success, we have mobilised an RC rig to undertake follow-up drilling at
Black Snake” Mr Ariti added.
The technical information contained in this report has been compiled by Kim Bischoff (Exploration Manager), a full time
employee of the Company who is a member of the Australasian Institute of Mining and Metallurgy and has relevant experience
as a Competent Person, as defined in the Australasian Code for Reporting of Identified Mineral Resources and Ore Reserves in
relation to the field of activity in which he is reporting.
Enquiries:
GV Ariti
Managing Director & CEO
Telephone: (08) 9480 0492
E-mail: [email protected]
Giants Reef Mining Limited Page 3 of 4
ASX Release Dated 17 January 2005
Table 1: Significant Drill Results – Black Snake
Significant Intercepts
Depth (m) Hole
Number
Easting
(AMG)
Northing
(AMG)
Dip
(deg)
Azimuth
(deg)
From To
Interval
(m)
Grade
(g/t
Au)
RAB Program
BSRB026 429,450 7,823,343 -60 335 3 5 2 1.7
BSRB027 429,455 7,823,334 -60 335
Includes:
17
28
29
22
39
34
5
11
5
5.4
21
44
BSRB028 429,460 7,823,348 -60 335 4 5 1 6.0
BSRB029 429,469 7,823,353 -60 335 NSI
BSRB030 429,474 7,823,343 -60 335 NSI
BSRB031 429,479 7,823,351 -60 335 29 32 3 1.5
BSRB032 429,443 7,823,349 -60 206
Includes:
15
19
29
26
14
7
60
112
Results from Earlier Explorers
BSRB008 429,466 7,823,341 -60 330 26 35 9 17
BSRB012 429,427 7,823,353 -60 180 19 21 2 4.7
BSRB013 429,432 7,823,353 -60 180 16 25 9 2.8
BSRB019 429,432 7,823,353 -60 140 11 24 13 9.5
Notes:
Samples are one meter splits.
Significant results are reported at a 1 g/t gold lower cut-off with no top cut.
Giants Reef Mining Limited Page 4 of 4
ASX Release Dated 17 January 2005
Figure 1: Regional Geology and Project Locations