BOW, if this keeps up with the POG, we will have to redo all the link library posts that deal with value of the potential deposit. Its at $1808 as I write, but I see it hit $1816 awhile ago!

http://www.kitco.com/

I did some math awhile ago on what it cost per gram to open pit mine a resource. I beleive that was last winter, and if I remember correctly it was $14 per gram to mine. At that time, the POG was around $1200, and the profit margin would have been approx $26 per gram. That would have put gold around $40 per gram, at todays price, that puts gold at $60 per gram. Thats a 50% rise in profit margin, with the cost staying roughly the same. Because of this, big companies were including their low grade of .2 g/t into their resources because it was economical.

IMO, if the POG remains this high, or continues higher, it makes it so much easier for us to have an economical open pit mine. I was hoping the average grade for the trenching samples would be around .4 g/t, or above. With todays POG, it will be acceptable if that average grade is only .2 g/t.

In short, with the POG this high, its bringing lower grade gold into our equations, which has to boost value to the potential resource. The halo of disseminated gold Lori spoke of, may be economical enough to consume the whole property, if this was a craton with the top sheared off, like I suspect.