HI. I've not been following NWR much recently, but I think that if they can get their schnitzel together, Blue Spec has a huge upside. The significant thing are the splay faults - intersecting those really has upped the ante and the expectations of what NWR might get out of the deposit.
My take on the fundamentals are this; the guys have a new model to work with, and they have to dril new holes targeting it. Often this means abandoning a prior way of doing things and abandoning an historical ore body model, and reconstructing it from scratch. This tends to slow things up as you have to re-look at core, resample, re-log, and then head back to the 3D model to target new shoots. So far, they seem to be doing well, the only issue being getting the holes drilled.
Here, they aren't helped by the deth they are looking at. To drill a 450m deep hole probably takes them 1-2 weeks, and then 3-5 days per wedge. So you can't expect ths JORC to turn up for a couple of months; they ave to complete several holes each with several wedges, then get the lab results back, and then hit the computers to sew it together, and send it off to the consultants.
The market has clearly got bored, but I'll hazard a guess and say they'll get 300-350K Oz Au out of this thing, and that's 75% of the way towards what the really need to turn this into a mine.
NWR Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
