TRY (ASX) Guyana Super Pit Discovery

Originally posted by triage: ↑

Justis - my understanding now is that kojak is doing his best case figures on the assumption that the grade of the ore body is about 18g/t. If so then the company would only need to process about 800k tonnes of ore to produce the guessed at 500k oz of gold. Given that the plant can handle about 80k tonnes of ore a month then if they only processed ore from Ohio Creek and the grade was about 18 g/t then it would only take them 10 months to process it all ie is a bit over 3/4 of a year. That is why he is postulating that Ohio Creek by itself could result in Troy's share price going up in multiples: 500k oz produced at very little cost in less than a year. That of course is the best case scenario but even lesser blue-sky scenarios still mean that should Ohio Creek prove up at all it in itself will have a significant impact on the company's fortunes and share price. Warning: these are wildly optimistic speculations based on a single set of assay results
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Not exactly a best case scenario, just an estimate that is most true to the data we currently got. It is still open to the west and if it is similar to everything else out there there will be an even larger resource below.
The size of the deposit will not change so much as there is mineralization at ca. 100m depth and if you want to get there you just have to mine the shear zone. The question is the grade. If it really turns out to be double digit grades (the saprolite is going down to 60m and saprolite could have a different grade than the fresh rock below), it is no question that any mineralization/resources below that will be unground mineable.
Worst case would be if mineralization is not continuous and the average grade falls to let's say 1/4th or 4.5 g/t. It would still be higher grade and larger in reserves than current operations and enable getting the benefits of the 28.5m deferred tax assets currently off balance sheet and maybe ca. $50m of net proceeds from Smarts underground. Would be a triple to quadruple for the share price. And in that case underground below Tallman could happen but more likely to not be feasible.
Just incredible the share price is not budging at all. Best to wait for the drill results as it seems there is no real downside to the share price under any likely scenario.