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Originally posted by bid.rod ↑

Originally posted by jimone
Friday was a public holiday in Brazil, Independence day, not sure if the mine worked but everywhere else would have been closed. Results should be out this week you would think. These numbers are very important IMO, we have seen lots of nice high grade panel samples but as yet have not been able to see them being recovered at the plant even after allowing for dilution.
I can imagine how frustrating it must be for management, trying to budget and make announcements based on data given to them from the geo's ect then have it not materialise at the plant. The bottom line is really quite simple, it the gold is there in economical grades after dilution then every other problem can be solves. If the gold turns out to not be there in economical grades after dilution, then things could get very tight. The grades and vein widths look like improving as we go down dip, but we need to get there, and at the moment it is still not for sure.
If the CIL shows that our plant is not recovering the gold as we think it is,, I think 70% at the moment is the number, then some decisions need to be made as to how to get around it. Just as an example, if we produced 200 oz last month ( just a number out of the air) at 70%, that would suggest ~90 oz went to tailings. If it is 50% as Troy achieved then that would be ~200 oz to tails.
One thing is for sure Jim, with the test results this week, and if the recovery rate improve by >30% with CIL, the BOD have to star planning and find ways to monetise the tailing ASAP... There is NOT a more affordable way to finance the grow of the company IMO.

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They've fed some of that stockpile through HM3 and weren't happy with the recovery so they've stalled the arrival of HM4 until the independent bulk tests are done. I would have been happy with only 50% recovery from the tails - get whatever cashflow you can and get it now. The tails would go through the hammer mill like butter and unless I'm missing something, be cheap as chips to process.

CIL is a long way away, unless there's a toll solution. We can retreat the tails again in a years time for minimal cost. Yep, double handling but it could make the difference at a time when we need cash the most.

However, I stress that those onsite have a much better handle on the situation than we do...so we await their next move.