The Resource

Thought I would share some thoughts...

The next two weeks should be a positive and interesting story for MOD as further results are received whether from RC drilling and assays to the recent diamond holes.   The joint MOD/MTR presentation on 20th April in the UK will hopefully start to shed some light on the mineralization for this potential resource (as related to JORC) which appears to be very good so far.  They will have to release this to the ASX on Monday or Tuesday prior to the meting so all shareholders are kept informed.

I understand the strike length is 400m so far, at least out to 1.5km would be good (or more). Whilst 5% copper would be nice it is not critical to the success of the project instead medium (>100 to 200Mt) to large ore tonnes are the key which would be very nice at 2 to 3% copper grades (most open pit grades are 0.5% to 1%) plus other payable metals(silver, zinc).  I have been in the mining industry for 20 years in gold, iron ore, and copper mines and am closely watching the progress of this stock, so far so good.  My thoughts are MOD should divest out of its NZ gold interest (cash plus ongoing royalty should it be mined) and use this cash to continue to prove up the Botswana resource, political risk in Botswana is low and country is very stable so no great concerns there.  It is likely there may be more T3s near this one, but focus for the moment to be on the existing find.

It would appear the mineral resource is closed off to the south west due to the interpreted fault and 10R drill hole, where the rest of this structure was offset to is unknown (may be further at depth) but noting the major sections of interest are favorably open in all other directions and at depth, as to the type of deposit it may be a VMS deposit (not a geologist).  The recent diamond should be able to provide a much clearer understanding of the resource, its genesis and its potential.  Further much cheaper $/mtr and quicker RC drilling will keep the results flowing.

Looking forward to next week and the coming weeks and months.  I doubt they will publish a Resource this week as it is far too soon in the scale of things, may take several more months to receive assays from further holes and computer model but it is definitely coming together structurally and grade wise for a potential mine.  On the 20th they should be able to provide an interpretation and unfold the plan in more detail going forward.  If it is good hopefully they can develop the project themselves as quite a few other resource companies with good deposits have made the journey before.

From Wikipedia....

1. 
   Volcanogenic massive sulfide (VMS) ore deposit. Volcanogenic massive sulfide ore deposits, also known as VMS ore deposits, are a type of metal sulfide ore deposit, mainly copper-zinc which are associated with and created by volcanic-associated hydrothermal events in submarine environments.  They are predominantly stratiform accumulations of sulfide minerals that precipitate from hydrothermal fluids.
   
   They occur within environments dominated by volcanic or volcanic derived (e.g., volcano-sedimentary) rocks, and the deposits are coeval and coincident with the formation of said volcanic rocks. As a class, they represent a significant source of the world's copper, zinc, lead, gold and silver ores

GLTA