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Re: TRAPPER JIM post# 45920

Thursday, 11/14/2019 1:17:13 PM

Thursday, November 14, 2019 1:17:13 PM

Post# of 55227
I thought a perspective from an engineer whose been involved in precious metal refining, as well as colored stone and diamond production might be worth inserting. I am also a shareholder.

Anyone in precious materials mining and recovery is well aware of the risks of theft. Just look at the extreme and deadly measures the DeBoers monopoly undertakes in Africa and other places to own and protect their product. At some point an investor has to either trust the management for an honest accounting or don't buy in.

Regarding the dirt being processed, it would be interesting to know the yield in g/ton of gold vs gem diamond crystals vs industrial diamond (abrasive grade).

Gold is of course extremely liquid. If 24kt refining (actually a simple process) is done in house, it will trade close to London spot values. At 90% yield with high assay dirt - well it could be noteworthy once we have data.

Believe it or not, even with all the synthetic diamond produced, there is still a market for natural industrial diamond. Production simply involves crushing and screening (classifying for particle size). Yield is typically 100% of rough crystals and prices run from $0.40/Ct on up according to particle size. at 5Ct/g this can add up fast if there is decent amount of output. Also Brazil is a significant consumer of industrial diamond from both manufacturing businesses and the lapidary industry right there in Minas Gerais.

As far as Gem diamonds go, cutting costs are typically $300 to $400/Ct. of finished weight for $3000/ct gems. As a rule of thumb, a 0.8g to 1g crystal will yield about 1 ct finished. Fogassa is correct to sell the cut stones for optimum value as it is very hard to grade rough and get premium value.


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