Anyone please feel free to correct me if i have made an error...

Anyone please feel free to correct me if i have made an error however this is the reason for my investment in this company. I did some quick numbers for myself when deciding to invest in this one so i thought i would share.


So assuming a 90% recovery, conservative resource values and density of 3t/m^3 we achieve $3,095 USD value per cubic meter (say $4,150 AUD). FYI for anyone not involved in the resource sector (I am an engineer working in the mining industry) this is the stuff dreams are made of. Even if your all in mining cost was stupidly high i.e. a few hundred dollars per tonne there would still be huge profits to be made *subject to ore body size*

We have just had a 60m wide intersection at that grade in the deepest drill hole to date. The million dollar question is the size and overall grade of the ore body and looking at prior drill results from higher up in the ore body the indication is that the yet to be drilled P-18 drill hole could potentially intersect both an increase in grade and thickness of the ore body as this has been the trend as we move deeper.It is also hard to imaging we got so lucky that we just so happened to hit the thickest and highest grade zone of the ore body this early in the drill campaign so my money is on some cracker future drill results.

Even if after defining the boundaries of the ore body (still open in dip and plunge) we find it does not extend for much longer or width of the ore body is limited to sub 60m this would still make a hugely profitable mining operation as these high grades would not require very large volumes at all to turn a nice profit. on the flip side if we find the grade increasing and potentially the ore body thickening this has the potential to be right up there with some of the most profitable mines around.

Just my opinion but to me it is all about risk vs. reward and this certainly has the potential for a huge upside. As with all high risk investments i would personally not put the house on it (please don't put the house on it) but i am willing to go the garden shed.