what we have already - known jorc

This post is for FA inclined posters. It is intended to generate discussion, and increase understanding of MNE and Comval project.

On 10 Oct MNE announced initial JORC resource of 33 million tonnes at 0.42% Cu, 0.3% cut-off and 0.13 g/t gold for 132,000 tonnes contained copper (incl. 9 million tonnes at 0.63% Cu, 0.2g/t Au, 0.4% cut-off). This comes from around the Tagpurah East area. It's all at-surface ore.

To build a conventional flotation processing operation you need minimum 200,000 - 300,000 tonnes of contained copper.

So, Comval project with 132,000 tonnes is on the way. The discovery of another, even larger copper / gold deposit at Tagpurah North (although not proven up yet), gives me confidence that we will find enough Cu/Au to get to PFS. Surely it's just a matter of more drill holes and increasing not necessarily just the tonnage but the grade.

I did a search for similar sized deposits and came up with Hillgrove Resources Kanmantoo project in South Australia. It has 32mt at 0.9% Cu, 0.2g/t Au for a contained resource of 292,000 tonnes Cu, 191,000 Oz Au. This is very similar in size to what we are heading for at Comval as a minimum needed to go to the next stage (PFS).

I realise HGO (Hillgrove) has had some operational issues, and is further along the development path. Perhaps it's a "low case" of what to expect at Comval. HGO has an EV of $145m cf MNE at $14m (of course this ignores capital expenditure at Kanmantoo).

Cash cost at Kanmantoo will be around the $2/lb mark, whereas I bet it will be lower at Comval, with surface ore, potentially larger gold credits and cheaper labour costs. Which all means bigger profits!!

So, Lefevre provided the Medusa comparison, the "high case" while maybe this is the "low case" ,but still damn good. Can someone please improve on this? Trade4Profit or one of the other knowledgable posters, please critique!