pru december 2010 resources

Below is from PRU latest resource upgarde, i wanted to see what their flagship CAPG project was based on and its a very large low grade resource, below you will see the model is based on grades between 1 - 1.3g Au. I have tried to copy and post their reserves but couldnt do it well, the reserves measured and indicated are based on a 1.2 gram average.

Clearly i can see from what PRU currently have which is obviously large tonnage but low grade is very profitable in the current environment, all of their feasabilily studys were done on $1,100 gold and not the $1,450 currently, both of the their projects have a 12 month payback time with current gold prices.

Balatinid has histoic grades averaging 1.1g Au, throw in the base metals and we should easily be able to achieve 1.5g, this would only need a 0.18% copper grade to lift it up to 1.5g Eq AU.

I feel that Balatindi can easily deliver the required result to qaulify for a PRU bolt on resource, the only question in my mind is at what price, at 30c BYR is a steal(114m market cap) even 60c would be a deal for PRU providing balatindi delivers(230m market cap) PRU clearly have shown their intention about BYR and they will take us out should the results on Balatindi deliver even a low grade resoure. I think that its been smart for BYR management to gather as much drilling data as possible and deliver a truck load of drilling rather than 1 or 2 holes for this first round.



********CAGP Resource Estimate******

Extensive drilling on the Abnabna-Fobinso and the Esuajah South deposits during the past 18 months has
enabled the re-estimation of mineral resources for those deposits. The resource estimates are tabled below
and notes to the estimates are contained in Appendix 1.
The most significant change in the resources at Abnabna-Fobinso has been the increase in Measured mineral
resources from 20.0Mt at 1.3g/t Au in the 2009 estimate to 42.9Mt at 1.2g/t (a 91% increase in contained
gold). Inferred mineral resources have decreased from 16.3Mt at 1.0g/t to 4.6Mt at 1.2g/t and Indicated
mineral resources are approximately the same at 23.3Mt at 0.9g/t Au, compared to 20.3Mt at 1.1g/t Au in the
2009 estimate.