Hey BKK please see my explanation below using the recent discovery at Samalari:
Samalari Discovery as Announced on 16th October 2024
1. Dry Metric Tonne Unit (dmtu): This adjusts for moisture content, representing the usable part of the ore.
2. 10 kg per tonne: A "dry unit" is 10 kilograms out of each tonne, which is 1%.
3. Price Example: US$4 per dmtu means US$400 per tonne of ore.
The Samalari at Surface Discovery:
To find out how many tonnes are in 1,700 meters of strike with a depth of 4 meters:- Assume an average width (W) of the ore body.-
The volume (V) of the ore can be calculated as: \[ V = \{Length} \times \ {Width} \times \ {Depth} \] Given: \[ V = 1700 \ { meters} \times w \times 4 \{ meters}
To convert this volume into tonnes, we need the density (D) of manganese ore. Typically, the density of manganese ore is about 3.5 tonnes per cubic meter. So: \[{Tonnes of ore} = V \times D \]
Now, assume a width (for example, 50 meters): \[ V = 1700 \times 50 \times 4 (The announcement stated that depth was between 2 & 6 meters, I've used 4 as a calculation point) = 340,000 \{ cubic meters} \] \[ \{Tonnes of ore} = 340,000 \times 3.5 = 1,190,000 \{ tonnes} \]
Next, we'll apply the 35% manganese content:- *Find the dmtus*: \[ 1,190,000 \{ tonnes} \times 35\% = 416,500 \text{ tonnes of manganese} \]- *Convert to dmtus*: \[ 416,500 \{ tonnes} \times 100 = 41,650,000 \ dmtus} \]-
Finally, calculate the revenue*: \[ 41,650,000 \{ dmtus} \times US$4 = US$166,600,000 \] the exchange rate is approximately 1 USD = 1.55 AUD: \[ US$166,600,000 \times 1.55 = AUD $257,230,000 \]
So, the manganese ore from 1,700 meters of strike with a depth of 4 meters at Samalari, at 35% manganese content, would be worth *US$166,600,000*, or approximately *AUD $257,230,000*.
Dont forget this is what they have found surface!
This is based on the assumption of a 50-meter width and the density of 3.5 tonnes per cubic meter.Additionally, this is just one of potentially a dozen mineable prospects in Estrallas tenements, indicating crazy potential, Hence why its garnering international interest
I've gone to the trouble to fact-check my numbers.
Please see below!
