A little about everything CB
posted on
May 01, 2012 11:27PM
Keep in mind, the opinions on this site are for the most part speculation and are not necessarily the opinions of the company WITHOUT PREJUDICE
This excerpt from yesterdays release;
"The Companies have recently been approached by Compania de Minas Buenaventura to conduct a review of the property. The Companies are taking this into consideration."
http://app.quotemedia.com/quotetools/newsStoryPopup.go?storyId=50852264&topic=SLI:CA&symbology=null&cp=null&webmasterId=92583
has got me thinking. We, or I should say, IGD did a verification program last year to bring the Cruz vein up to 43-101 standards. Having said that, Buenaventura is asking for more, or some other verification? I am impressed that this big company is even looking at CB with no proven ounces, they must be speculating. But I ask "why would they be speculating or shown interest this early in the game?" A big company like this don,t bother with a junior that only has potential for a few ounces, so, they must be speculating a lot more, or they think that Candente will come in play and they may miss out on CB, or their geos have good reason to believe that Candentes copper does run on CB, and that maybe its Newmont and Buenaventure that may also be interested in CB. But wait, Anglo gold, Rio Tinto, Vale , Barrick and god knows how many other large players are in the area. Anyone of these may express an interest as well, especially if a move is made on Candente, which has ~ 10 NDA,s signed at the present time with majors.
I think BOW run some numbers last year on possible gold ounces on CB, but I can,t remember what he came up with. I do remember we were only looking at the main zones and see lately that there was much more that we didn,t consider. Throw a coppeer resource in on top, if we have it, which I say odds are very favourable, then I can see why we would be getting early attention. Get the rigs in there drilling as fast as you can Lori, if a play is made on Candente at this most opportune time in the markets, we need as much info as possible, to maybe entertain an offer. You don,t have to worry about a hostile bid on IGD succeeding, because you guaranteed that you know where most of the shares lie by the latest PP plus management having approx 20% before the PP and SLI owning shares of IGD as well,the many SLI shareholders that hold IGD as well, in safe hands.
So, IMO, the chances have just become greater for maximizing value for shareholders in both companies. We said that SLI could not be taken out hostily, now the same applies to IGD. If we can speculatively show that we may have 1 million ounces on the CB of gold and maybe a small copper resource of 1 billion pounds , that may be worth on a sale of the property $107 million dollars. I used $100 per ounce for gold in the ground and .07 for copper in the ground. I did not give anything for the silver, which is present on the property .I will note, that SLI does not mention any worthy copper, but I am not satisfied that we DON,T have it until we get some drilling, a clear google earth image and a property map outlining all the faults and fractures. Lori is saying that this is a gold/silver prospect, IMO that doesn,t say that economical copper isn,t there.Lori also states the absence or very little copper in results where gold was being targeted, this doesn,t mean that there are not sulphide occurances that carry copper, it just means that we are targeting high grade gold that is not associated with the sulphides there. Since Barrick bought Equinox out last year, mostly copper, I will be looking at any copper on our properties as a plus and if enough, it should be added into valuations in the future, this up,s the value of the resource.
Here is an excerpt from Candentes web site that says what they have in there North part of their deposit, they have 2 other parts that extend towards the CB , if they are not cut off by a fault or displacement, its very possible that this type of mineralization runs under parts of the CB.
"Candente Copper is developing the large scale CaƱariaco Norte copper deposit located in Northern Peru. The deposit contains Measured and Indicated Resources totalling 752.4 million tonnes grading 0.45% copper, 0.07 g/t gold and 1.9 g/t silver (0.52% Cu equivalent) containing 7.533 billion pounds of copper, 1.7 million ounces of gold and 45.2 million ounces of silver. In addition, the deposit contains 157.7 million tonnes of Inferred Resources containing 1.434 billion pounds of copper."
Also, here is a process that seperates copper and gold, figure 8 shows you where these metals drop out of the process. So, copper becomes important as a by product sometimes and value should be given to it.
http://books.google.ca/books?id=1etfSdk55SYC&pg=PA259&lpg=PA259&dq=copper+gold+processing+diagram&source=bl&ots=yCCZgKMP-Q&sig=hlHcKACjt3SR1fNNTDw84qejjEw&hl=en&sa=X&ei=B6egT7ubD--00QGGr-iuCQ&ved=0CEIQ6AEwBQ#v=onepage&q=copper%20gold%20processing%20diagram&f=false
IMO