On October 12, when a gold project simultaneously contains other metals, a single equivalent metric can easily obscure differences in revenue structure.
CBCX stated that Larvotto's latest drilling disclosure reported that Blacklode returned an interval of 20.5 meters at 9.4 grams per tonne gold equivalent, and a new Echidna vein was identified at the Metz mining area.
The gold equivalent here takes multiple metals into comprehensive consideration and is not a pure gold grade.
The project involves mineralization of gold, antimony and tungsten, and the related conversion is affected by price and recovery assumptions.
CBCX believes that when comparing equivalent values, one should first check whether the metal prices used and the expected recovery conditions are consistent; otherwise, even if the numbers are similar, they may not represent the same economic value.
Actual sales revenue will also be constrained by product specifications and processing conditions.
The company currently has four diamond drill rigs operating, with results from another seventeen holes still awaiting release, and is advancing the maiden resource assessment for Midas.
The discovery of new mineralization near existing infrastructure may provide more directions for follow-up research, but the potential mine-life extension effect still needs to be verified through resource models and mining plans.
The existence of a new vein does not by itself mean that mineable reserves have already increased.
In addition, recovery rates for different metals may vary with ore type, and before using unified parameters, sufficient samples are still needed to prove that they are representative.
Regarding subsequent developments, CBCX analyzed that attention should be paid simultaneously to metal-by-metal assays, the basis of equivalent calculations and resource assessment results.
Only if the newly added intervals can form a reliable connection with existing orebodies may development arrangements be further optimized; if the metal combinations differ significantly, recovery routes will need to be studied separately.
The focus of evaluation should shift from eye-catching equivalent values to verifiable economic parameters.
Risk warning: This article is for information sharing only and does not constitute investment advice.
Foreign exchange and precious metals are high-risk products with relatively large fluctuations that may cause loss of principal.
Please invest rationally and bear risks yourself.
Sina's large cooperative platform for futures account opening is safe, fast and secure.
Comments