Here is another comparison, but this one is of our diseminated gold in the host rock and how valuable and economic it could be.
Argonaut Gold has a deposit they call the El Castillo that they are presently mining. They are mining this oxide deposit by open pit at an average grade of 0.32 g/t today! The main mineralization is hosted in the granodiorite, the same rock that we have diseminated gold in on the Tesoro.In comparison, the granodiorite is only an intrusion on the Argonaut property, whereas on the Tesoro, it is the country rock, meaning that granodiorite is the most plentiful rock in the Tesoro area and belt, whereas at the Argonaut property the grandiorite has been pushed up there, probably from depths where the main body would be at there, unlike the Tesoro where it starts from surface and continues down great depths.
So, when Argonaut first started mining their deposit, they had an average grade of .39 g/t. They are presently using a cutoff grade of .15 g/t and have a measured and indicated resource of 1.7 million ounces of gold from a pit that will be 1.5 km x 1.3 km x 170m deep. They are mining this very low grade gold open pit at a cost of $650 an ounce, which is astonishing for the grade. Also to point out, to get your .39 g/t average grade, that would put their higher grade stuff around an average of .63 g/t, but there is a little more to that ,that I will not get into, the main point here, is the average grade they are mining at and when they first decided to mine it at a .39 g/t average.
I will also mention that in Argonauts deposit, there are narrow quartz veins but these veins generally have no gold. There is in some cases there, that a higher grade of gold is found on the contact of these veins and the host rock, but this happened because of different dynamics when the hot quartz fluid cut the existing host rock just burning it off from contact and redepositing it in higher grades in some places. So, the veins are not worthy of mention in this deposit as they only interferred with what was already there, and contain relatively no gold. Now, unlike the Tesoro where we have very high grade quartz veins intruding the already mineralized in places granodiorite/country rock, that ADDS to the overall grade.
So, to sum up the above, they are economically mining the non vein material that is very similar to our non vein material in grade. Below are some early alteration samples taken without vein material, notice how they are over the .15 g/t cutoff grade of Argonauts. In the table, gold is in ppb, so the 170 is equivalent to approx .17 g/t and so on.There has been more work done on this by the company, this is just the early stuff. Also, the trenching we have been waiting for should shed some more light on these areas or new areas tested. The new Cactus Zone looks like it is gonna be interesting when we get more info from it.

Table 5 below summarizes results from 104 trench samples collected mainly within
propylitic alteration zones associated with many of the veins in the structural
corridor (One sample grading 39 g/t Au is omitted so as not to scew the data.
There was probably unnoted veining within this sample). The table shows that
although there is anomalous gold within the propylitic alteration zones,
concentrations are not of economic interest at the present price of gold.

TABLE 5: SUMMARY OF ALTERATION ASSAY RESULTS
Area Samples
Avg ppb
Au
Avg width
m # of samples avg ppb au avgwidth

width
Canchete 350x480 4 170 4.75
Central 1000x1200 47 230 3.3
Sur 950x1100 53 320 4.61
Incognito 1200x2600 0 na na
Other Na 0 na na

The above comes from the 2005 tech report as does what follows.

Four trench samples of altered zones (propylitic ± brecciated ± sheared diorite)
were taken, three from the wallrocks of Vein C5 and one north of C8. All samples
returned anomalous (120 to 220 ppb) concentrations of gold across widths of 4 to
11 meters.

The northern part of the A7 swarm is within a zone of propylitic alteration in
brecciated and sheared diorite. Fourty-two trench samples of the altered diorite
with an average sample length of 3.0 meters returned an average grade of 250 ppb
gold within a north-northwesterly trending zone measuring 200 m by 50 m. The
highest-grade sample assayed 2.26 g/t gold across 3.0 m. Another chip sample
assayed 0.94 g/t gold across 7.5 m. This gold-anomalous alteration zone may be
of economic interest at a higher gold price.

The northern half of the S2 swarm is hosted in propylitically altered sheared and
brecciated diorite. Thirty-three trench samples were taken from this alteration zone,
but most samples returned less than 50 ppb gold. However, several trench
samples collected immediately adjacent to veins returned anomalous gold. For
example, at the northernmost end of the swarm, sample 253401 assayed 39.6 ppm
gold across 1.1 meters. Immediately east of this, sample 253402 gave 1.02 ppm
gold across 3.4 meters. Further to the south-southeast, trench sample 253403
assayed 2.26 ppm gold across 0.9 meters. About 150 meters to the southsoutheast
of this, sample 562669, taken of altered diorite between veins, assayed
7.48 ppm gold across 2.0 meters. In view of these results, additional sampling of
wallrocks immediately adjacent to and in between veins of the S2 swarm is
warranted.
The northernmost part of the S1 vein is exposed in a small window of diorite poking
through surrounding volcanics. Within this window, an unusual style of quartz
veining was observed in what was initially interpreted as subcrop. Veining occurs
as knotty “blowouts” and micro stockworks of milky quartz in muscovite-bearing
diorite. Grabs of this material across 27m assayed 1.75 ppm gold in sample
253259. This assay was confirmed by a check sample of the rejects. However, the
outcrop source of this material was not encountered in the three deep trenches that
were excavated at the site of sample 253259. It can only be concluded that the
interpreted “subcrop” is actually transported colluvium, and that the source outcrop
may be buried beneath the volcanics.

IMO