Roy Lloyd Mine

Something Netolitzky has kept under wraps for a very long time is the disposition of the Roy Lloyd mine. How big is it?

Just an ore shoot, they would have you think. But then, why would they spend years drilling off the deposit, grossly underestimate the grade for a time, and grossly underestimate the reserve? They always said that the deposit is open along strike and to depth, but the diagram in the presentations that they divulge to the public has not changed in years.

Furthermore, the results from the SGH survey to the north east and drill cores from casual follow-up drilling on the en-echelon veins is something that's been sitting on the backburner since at least 2007.

Moreover, we are seeing Netolitzky now somewhat humbly and glibly promote bulk tonnage exploration, which has never, ever presented a reasonable prospect of a large discovery ever in the history of the La Ronge, and boy, have these prospects ever been drilled off feverishly. This is in a narrow-vein gold belt. He's obviously an expert in telling people what they want to hear if they really want to ignore the facts.

Let it be said that EP Zone results must be taken in here, they're very important, and completely ignore the rest. Its absolute gibberish. (You'll get used to it.)

The correct strategy in the emerging economic is to form a company with a number of mines under development and production, and to pay dividends. Not to promote bulk-tonnage mining prospects with no hope of ever getting off the ground or eventually being dumped by investors as they turn sour. (True, GBN.V hasn't got going in the meantime.)

So the company is going to be treated as if it were an investment pariah heroin addict wanting to borrow your leather jacket in the streets. Let's all just abandon the engineering, metallurgy, years and tens of millions getting into production and let's go explore for bulk tonnage deposits!!! YAY!

So what, exactly do one of these bulk-tonnage projects look like? We have more than enough examples and relentless investment into these types of projects which are actually narrow-vein projects, but 'reconfigured' to open pit. In short, a swindle.

Very likely these projects will disappoint badly, and only have 25 - 50% of the gold they say they do. Its easy to make a mistake when you get creative with the cutoff grade and start processing a lot of barren rock.

Secondly, why in god's name would you even want to invest in one of these projects? Because they ejaculate over it in the gushing press?

"But now there’s a reason to come back home. Deep in the boreal forest about 180 kilometres northeast of Cochrane lies the biggest undeveloped pure gold deposit in Canada. Toronto-based Detour Gold Corp. (DGC-T27.72-0.42-1.49%)is spending $1.45-billion to build the Detour Lake gold mine and tap a motherlode of 15.6 million ounces of gold. The mine is expected to produce 650,000 ounces of gold annually for more than 20 years."

Big investment, Big mill, Big tonnage, ITS ALL GOOD!

-F6