Atacama Resources International Inc (ACRL)

[Jack_Herer]

Bravo! We're graduating from "back of the envelope" resource estimation to "back of the envelope" scoping studies (quick & dirty pre-feasibility).

Unfortunately, we're not just mining ore (you can't open pit mine a 4.6m wide zone down 100m or so vertically (it would probably cave on you and you have to have room to drive your mine haul trucks and drills (for drill & blast). So you need sloped pit walls, around 55 deg slope should work in hard rock with minimal overburden. So you have a LOT of waste rock to also mine, which isn't free - costs the same as mining ore actually.

I estimate the strip ratio here to be around 50:1, that is 50 to 1 waste to ore ratio.

$150/tonne is much too high. Let's call it $12/tonne mining cost. So 64,000 tonnes X $12 (768,000) for the ore PLUS 64,000 X 50 X $12 ($38,400,000) to mine the waste rock for $39,168,000 total mining cost. PLUS there is the cost to haul the ore up to the Holt mill site (a few bucks per tonne?) PLUS the cost to process the ore at the mill ($10/tonne?) plus taxes plus permitting and environmental costs etc, etc...

So, the $18.2M in gold bullion wouldn't even pay for 1/2 of your costs to permit & mine & process... Sorry.