SLR 0.00% $1.57 silver lake resources limited

Yes or No, page-35

  1. 2,037 Posts.
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    There are a lot of people better than I to explain this but just for rough guidance see below examples. Spartan drilled from surface to demonstrate a jorc mineral resource 952koz. They then drill a single hole DGDH064 to test gold mineralisation down dip 400m below the MRE from surface to show the system is open. This hole is 1km deep, it's very expensive, there's no need to continue drilling that low as that gold won't be mined for another 10 years. Instead they'll invest in a exploration decline to get closer to the inferred section and firm up what they've already found into a higher category. It's cost vs benefit. As SLR are already mining and have established declines they predominantly drill from underground. See further image below from recent Sugar Zone where they drill directly below the main zone decline with a few test holes from surface at Sugar South. In contrast RED can probably show a mine life of 30 years with underground decline below the pit. It doesn't make it any more economical or better value.

    https://hotcopper.com.au/data/attachments/6174/6174767-1bcedeed65f65a7872e1565e83102eb1.jpg
    https://hotcopper.com.au/data/attachments/6174/6174790-168ec541ba33b1eb4004ad23aadd7ed7.jpg


    Last edited by BullishBearish: 16/05/24
 
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