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Message: Re: Information Regarding Tesoro
5
Feb 26, 2011 06:16PM
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Feb 26, 2011 07:04PM
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Feb 26, 2011 08:13PM

Thanks Geer, now that's a much more concise post. Now you're sounding more like a sophisticated and valued hub member, and less like a SH flunky. It would have been nice if you could have formatted your original post in this manner. May I comment on your numbered points as follows:

1) Amazing, isn't it? We all agree it sounds too good to be true, hence the overwhelming amount of DD that has been performed and offered up on this hub. If the anomalies contain no gold and the property is only veins, then it'll be pretty disappointing (the understatement of 2011). But those veins gotta come from somewhere! Where's the source? Hence the excitement about the Quantec survey.

2) This is a junior exploration company, I doubt they even have a webmaster on staff, let alone pay for one as they try to keep costs down. Remember the entire company consists of what, maybe 20 people or less? Agree that the website should be better maintained, but I really think it's about time and cost. Low priority, even though, yes I know what you're thinking, websites are where everybody goes nowadays to find information. I've always had the opinion that face-to-face still is a much more meaningful human interaction than throwing up a glossy website. What has SLI been doing? Pounding the pavement all over the world in a big way this last year. Maybe now that much of the legwork has been done, they can concentrate on improving the website. I'm a little mystified with the new website. To me it looks like they came hard out of the gates, and then it just petered out. Like the webmaster went on extended vacation or something. Must have gone from a high priority to a low priority. Agree it would be nice if they finished it off properly.

3) Agree they haven't rolled out the info in the most eloquent way. Strongly suspect it has do to in part with the challenges experienced in #2 (i.e. time and cost). My more sinister side actually doesn't mind that. If investors don't want to do a little digging, then to heck with them, they can stay invested in gold ETFs.

4) Totally agree the whole permit thing has been very poorly handled, and I'm still baffled how and why it was handled so poorly. With the benefit of hindsight, I think SLI would do a much better job of it if they had the opportunity again. In the meantime, it's "any day now", a phrase which used to tick me off, but now makes me laugh out loud! I'm not worried. Doesn't matter much now, it's almost here. Sure hope I don't eat my words.

5) Disagree. Open to interpretation. My interpretation is that the language in the permit obligates SLI to restore the land to it's original state. That is, reclamation of the land they've disturbed so far under earlier permits which they HAVEN'T FILLED BACK IN YET - TSK TSK!!!, AND, reclamation of the land they will disturb under the forthcoming permit, is a condition of receiving the permit.

6) You bet the appreciation is because of Quantec, but also because the average grade of all grab samples near the surface is nearly 1 oz/t. If the average surface samples over the years had returned 1 or 2 g/t, the anomalies exposed through the Quantec surveys would be viewed with much less enthusiasm, IMO. No one is saying that the nice, pretty Quantec colors mean gold. But it's the best tool out there for seeing underground.

7) Why do you think we're all so excited? Correct, only time will tell!

8) I think I more or less agree with you. Based on what I've read, the positive testimonies from customers who have used Quantec's services say that the Quantec results helped them refine their explorations and drilling programs in the most cost effective manner. In some cases, they drilled and found what the survey predicted and in other cases they didn't. I would really like to see, after the Tesoro is drilled, someone correlate/calibrate the gold grade exposed from drill results to the chargeability numbers produced from the 2D and 3D surveys. I want to see a legend that says "purple = 18 mrad = 20 g/t". I'd much rather see that then anecdotal testimonies. All that said, there is no doubt in my mind that the Quantec methods and results are industry-leading and it is the best way to explore a property without actually drilling it. I mean, what else are you gonna use to explore the property???

9) Based on the evidence gathered so far, if I was Paul Gray, P. Geol., I'd say the same thing! Geology is part science and part art. Who knows what's down there? I find it difficult to believe that there are just a bunch of veins snaking around with no source. But I sure ain't no geologist! So Mr. Gray is making an informed, experienced and professional opinion. And it may turn out that he is 100% correct. But I hope not! Drills will tell everything, as we all know.

And your last paragraph: Yup, I pretty much agree with you. Regardless of Primed's excellent summary on what SLI is worth without the Tesoro, you bet your boots that if the drill results are disappointing, the SLI sp will plummet. In the immediate aftermath of published lousy drill results, the market won't care what SLI is worth without the Tesoro, the sp will get HAMMERED, and it would likely take a long time for it to recover after such a crushing disappointment. So.....as I've posted previously, a person that can NOT afford to lose their investment will pick an opportune time to take some profit off the table.

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