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stakx

2,521 Posts.

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16/04/18

17:19

Post #: 32487988
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Originally posted by Scarpa ↑

Ok, if across is not straight and is 300 metres it is still 5 drill holes across (5 *75 metres - 75 metres = 300 metres). As for length, with 64 holes still 960 length at each point of the 'distorted'rectangle to the other point. As I said all hypothetical but you might want to put down some estimates as well.

What I guess we can agree with, since I think you are as conservative as me to what is going to happen with AVZ when compared to some other posters, is that the estimates by some on this forum of measured and indicated resources above say 500 mt ore requires a lot more drilling, and certainly won't be happening with this stage 1 program. Obviously there are inferred resources around but mining decisions are made when you get measured and indicated resources and the current drilling program - i.e. initial JORC on 20,000 metres- will get you less than 200 million tonnes of ore, i.e. we can agree on that, the 40,000 metre program will get you less than 400 million tonnes of ore in that measured and indicated category. Hence, if sell the deposit after stage 1 JORC or on the road to stage 2 JORC (the 40,000 metre program) I wouldn't be expecting TO prices north of 75c (as some posters here think will happen). Take this to mining, and prove up the resource is what will get you a SP above $1 per share IMO. All IMO

Anyway, if other posters have an opinion please share. All IMO

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I have done a bit of a scaled calculation of the deposit so far and have the dimensions reasonably accurate. We start off with the drill hole sequence and spacings from the company announcement of 6th April 2018. So far my estimate is just for the area between section 6900 and 7100.

Using trigonometry and right triangles we can work out the surface area of the section. The red holes are not reported yet but it seems likely to continue as the other.
Note disregard my calc for m3 on this page. Just use the m2

Used 4 triangles A, B, C and D. Subract D off the calculation.
OK did the math.

For some reason it keeps rotating this pic 90*
I averaged both m2 from 6900 and 7000 and applied that for the 7100. This gives us just 210m width of a 5km run. This gives us the volume of pegmatite which I then multiplied by Li% in the pegmatite (as per the 2nd picture)

This part Im not sure is accurate. Maybe you can help me with this Scarpa or possibly 8horse?
I then multiplied by the weight of Lithium per cubic centimetre converted to tonne
I'm not sure this is right way to do this but it seems logical.
Gives that 210m area in ground value of $19.598 Billion USD
PS: Haven't included the tin as yet.......

AVZ Price at posting: 21.5¢ Sentiment: Buy Disclosure: Held
89 Upvote

41 Great analysis

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