Bullion Monarch Mining (fka BULM)

[Ombibulous]

Alright. I'll just start off with the first three paragraphs and ask and comment away. I don't know how to read these results, but I'm sure I can learn with a little help.

NEWS - Bullion Monarch Mining Inc. has now completed an exploratory drilling program on the Bom Jesus property in the traditionally mineral rich Para state of Brazil. The Dourave/Bullion Joint Venture LP completed 8 drill holes with a total of 2207.05 meters of diamond drilling on its Bom Jesus Project in northern Brazil and has now received all outstanding geochemical results.

This is their joint venture in which they have a 33% interest in (from the video) with Dourave Brazil Mining. From the Dourave Mining website:

Dourave Mining and Exploration Inc. (“Dourave” or the “Company”) is a private Brazilian gold
exploration and development company, incorporated under the Canada Business Corporation
Act (“CBCA”). Its wholly-owned subsidiary, Dourave Mineraçao Ltd., holds six 100% owned
major mining leases: Ouro Mil, Bom Jesus, Bom Jardim, Castelo dos Sonhos Sul, Serra de
Bau, and Pontal do Paranaita. Bullion Monarch currently has a Joint Venture Agreement
whereby they will earn a 1/3 interest in both Bom Jardim and Bom Jesus for an expenditure
of US$2 million over an 18 month period. In addition, Dourave has a “first right of refusal”
over a number of other mineral projects.

If you go to the Dourave website you can read about the Bom Jesus property here http://www.dourave.com.br/bomjesus.php/. Two things caught my attention right away. First was the high grade reported. I'm new to this, but I don't think 5,000 grams (160+ ounces) per tonne is something you make up. At least I hope not. That vein has been mined to a depth of 72 meters. It's unknown if it petered out or if they artisanal miners just stopped digging.

The Bom Jesus Garimpo was discovered and developed in 1982-83 by two private individuals. The veins on the Bom Jesus were extremely high grade recovering 1 kilogram of gold for every 200 kilograms processed – a grade of 5,000 grams per tonne. From 1993 to 1999 the present owner (private individual) commenced operations and in the first 70 days produced 400 kilograms (12,860 ounces) of gold using artisanal methods. The main vein has been exploited to a depth of 72 metres with high grade ore shoots reported by the artisanal miners.

In addition to the main vein, a multiple vein system was confirmed over a area 300 metres in width with 32 parallel veins have been identified by artisanal miners. A grab sample taken from a shaft located 600 metres along strike from the main pit assayed 37.5 grams of gold per tonne. The multiple vein system identified could have the potential to support a larger open pit operation with the potential of a 1 million ounce+ deposit. .

A small 200 tonne per day process plant is currently operating on site.
So we know there is gold there. And probably lots of it.

The other thing that caught my attention was that there is no road access to the area. Besides issues with transporting men, materials, and supplies in, there's the question of getting the ore, either raw or processed, out. I would assume there would be some measure of processing on site to reduce the bulk. I'm still learning about that. Also, what about infrastructure? Is there electricity there or will generators have to be set up? Potable water for the crew? I guess the question comes down to the feasibility of mining this property and make money doing it, or will the costs associated with the remote location make it non-competitive? I'm guessing that the high grades would compensate in part for the added costs of production.

Also in the first paragraph, they say they drilled 8 holes with a total length of 2207 meters (I think), but it doesn't specify the depth and pattern of the individual holes. Not that I'm certain this is important to us. It seems it could be if the hole with all the gold is like 2,000 meters deep and others are shallow and low grade.

The second paragraph:

The drilling tested coincident geochemical and geophysical anomalies, along with the down dip extension of shallow, high grade, parallel vein systems which returned bonanza grades with channel samples taken from shafts of 0.45m @ 83.45 g/t Au, 0.55m @ 34.49g/t Au, 0.80m @ 19.83 g/t Au, 0.30m @ 139.69 g/t Au, 1.55m @ 32.08 g/t Au & 0.60m @ 315.04 g/t Au.

I'm not a geologist, so if anybody can comment on the significance of "coincident geochemical and geophysical yada yada yada", please speak up. I'm assuming that it means the characteristics of the ground are conducive to finding gold. I'd be interested in knowing if this is good, better, or best.

Now the numbers. I see these all the time, but I don't know how to interpret them. It's "distance at grams per ton of gold", right? What does that mean? That for a distance of 0.45 meters there was an average of 83.45 grams of gold per ton, at least for the diameter of the dril?. How far below the surface is this gold? And how widespread are these holes? Isn't that important?

Also, what exactly is "bonanza grade" when talking about gold and silver exploration? Is there a magic number that must be met?

All holes intersected pervasive hydrothermal alteration with associated disseminated sulphides indicating the presence of a large hydrothermally altered gold and polymetallic system. Previous drilling of similar targets on this property intersected grades of 11.44m @ 1.4g/t Au & 0.42% Zn associated with between 7-10% disseminated sulphides. High grade veins nearer the surface returned grades of 0.50m @19.20g/t Au and 1.21m @ 5.58 g/t Au.

Ok, again we have geo-speak for Really Good Rocks, I suppose. And there's some zinc in there to boot, which can be separated from the gold and sold. What is the significance of the sulphides? Also, it should be noted that these numbers come from previous drilling, but it doesn't say when or by whom. Are these numbers to be trusted?

Of course, the Big Money Question is how and when will this gold be dug out of the ground? At what point is the decision made to stop drilling and start digging? As investors, what should we expect? And how does management plan on returning value to the shareholders? Are there dividends in the future?

For those who have made it this far, thanks for sticking with me. I'm only asking this stuff because I think I see some real potential here, but let's face it, there's many pretty girls at the Precious Metal Fair. I want to make sure I get lucky.