The Motley fool article was a nice leadin to this news release. Open pit ore source will be relatively low cost compared to underground ore source. It appears that Aurcana will be mining non compliant ore for a while (just like La Negra)and that is great.
If you read the feasability report for Shafter you can see there is potentially a great number of occurances around the property that has the potential to be gathered. Not just the Shafter deposit.
This will give the team time to optimise their development of the property's resources.
ur right im just so under water in exsff!!!didnt know Gary was with Dolly Varden?! So say you had alot of exsff ,would you take the beatin and sell exsff while underwater big time and use proceeds and buy more aunff where im up say 40 percent ...im curious to your opinion...TIA
I spoke with Gary Lindsey to get clarification of my previous post re: open pit mining/gold thread.
1. They were averaging 2-3 oz of silver at the surface of the open pit. The strategy for the pit is to implode the pillars underground for continuation downward. The pillars contain the richest portion Ag which is congruent with the historical avg for Presidio. I did not think to ask until later what the pillar sizes were, centers, and spacing. Could have done some back of the napkin estimations of tonnage and recovery.
2. They will continue the pit mining until the economics show it is no longer viable. He said the mine was not that deep but believe it is close to the "Feeder system". I assume they used a "room and pillar" mining method in the past and that is what the implosions are for.
3. Gold continues to offer offsets at the pit and will do so at Shafter after the core sample seemed to indicate gold there as well. More cores have been take at Shafter indicating more than the 8-10 oz's Ag avg. that were used for the Feasibility study. Closer to averaging 30 oz. Gold was within the new cores at Shafter as well.
4. La Negra drilling news continues to be expected to be released. Mgmt continues to tell Gary every two weeks it will be released in two weeks.
5. Gary has asked for more help in IR and perhaps his persistence has paid off. He hopes to have help in the fall. He has spent the last two weeks in Europe for the co.
I tried my best to get a hold of the 3-d model done for SSRI by Allen & Holt. I ended up at Corex but if it had been there it was long gone. Oh, well. Would have been nice to see.
I think that the delays in updating Shafter is from an abundance of opportunities. Aurcana is looking to update compliant ore (La Negra, Shafter deposit) up date non compliant ore readilly accessable through the open pit and Presideo mine (much of which is contaminated with gold) and continue to expand the understanding of the plumbing of the PM system and sources(potential entirely new deposits at depth and regionally ( need to tie up nearby mineral rights [Mineral blocks previously identified])) Hence the slowness. We should see the La Negra NE trend compliant resources and the Shafter deposit (only block III [blocks I and II later this year/next year]) initial updated compliant resources this next month. Later this year La Negra will update compliant resources on the NW trend per Lenic. In the press release about high grade drill results, the links to a site had two figures that seemed to match your searches for a 3-D model of the Presideo mine sections. By these figures the hole S-12-403 was in Block IV at about 50,500 feet. This is near the Mina Grande fault and old open pit. You can see the individual Mantos and the looping mine shaft. You can see in addition that this hole identifies a new thick Manto previousely unidentifies. The side view shows the mined out blocks (average grade mined was about 35 ozs) and lower grade blocks unmined. There is going to be a lot of noncompliant silver and gold taken from block IV (old Presideo mine) People just need to be patient, lots of excellant news in comping in the next six months and beyond.