Molybdenum

[echarter]

Our Ontario stuff is not ready for prime time yet. We are looking at some stuff. Everything from 40 feet of 0.4% to some high grade shows with smallish tons. It could be done with a partner if we did it quick. A maybe again. There is a partner available. Who knows?

The Quebec stuff is only 0.40% calculated grade but it is 80-holes-drilled at 300,000 tons and it comes right to surface, absolutely no overburden and it is 30 feet wide. Trouble is, no mill in the area, unless you count one closed-down dolomite mill, which maybe, maybe could be restarted. Good people in the area would invest, but I don't know if the grade would support mining. After all is said an done there is perhaps 0.42 X 0.9 X 0.6 X 20 = 4.54 lbs moly at the smelter. That is 136 dollars CDN per ton return @ 29.75 dollar moly with a 5 dollar roasting charge. It is great for open pit mining if you have one million tons and a mill nearby you own. @ 15 dollars to mine and 15 dollars to mill and 5-8 dollars capex, it looks like a slam dunk. But would moly price hold for one million tons? We probably got more than that, but I am jittery about it.

The portal's a hoot. Old NWT gold mine we had an option on. It runs 5.83 ounces gold per ton for perhaps 500 feet deep but it perhaps only 40 feet long. Still there are near 25,000 ounces in it which could be mined quick and milled nearby. Assays to 11 ounces per ton gold. There is other stuff there too, running 1 ounce per ton nearby. But it was too tough to raise money on it. Nobody wants to do small high grade mining.

EC:-}