Hi F430M,I doubt they'll have 1billion tonnes. UMC don't have a...

Hi F430M,

I doubt they'll have 1billion tonnes. UMC don't have a history of delineating 'potential target tonnages' based on rock chips and square metereage of land. For many iron ore companies the sequence goes like this:

rockchips -> guess tonnage -> drill

for UMC the sequence is:

rockchips -> define target area -> drill -> estimate tonnage target -> drill more -> get JORC tonnage.

UMC's method is more time consuming, but gives me more confidence.

I hope this is the methodology that ASX impose on companies in the near future. Too many companies are getting away with touting massive tonnages, but using the word 'potential' and 'target' in the fine print to get away from having to undergo the rigors required of a JORC inferred resource.

UMC have told us they are going for 100Mt DSO grade at Railway. Need to wait til July for this.


Joel