First let’s look at the first release (that cause irrational panic and selling)
What did the first result say? 1) The cores small veinlet intercepts were assayed (showed low grade). 2) We had no idea whether the whole core was assayed or partial as it only said partial results (of what???) we did not know. 3) We knew only grades greater than 1g/t were shown. 4) Where were they drilled (we did not know) 5) Were the areas between the intercepts reported barren or mineralized (did not know)
What astonished me was that most of us investors spent the last year or two dissecting and talking about the Quantec imagery and its relation to the existing known mineralization to nauseam. Most I think felt that everyone had a pretty good idea of what we were sitting on and it’s potential, yet this first incomplete and inaccurate release comes out, and immediately many panicked and ran for the exits helping to plunge the stock to an all time 52 week low.
It was blatantly and blaringly obvious that: 1) The results were incomplete and rushed 2) There was far from enough information to make any kind of rational decision on what these results meant (ESPECIALLY whether they were good or bad). 3) Even the experts that some had showed it too, and posted there reply indicated that there was not enough information to make a determination one way or the other. (and that is from the people who know these things) 4) Because the data table was in error, clarification had to be done. IMO
I feel bad that some got stung especially those who sold at 60 to 70 cents and took a big hit. And if they want in now will have to buy back at a higher level then what they sold at. But I’m sorry; I have to ask what were they thinking? At the very least make a decision based on solid, factual and complete information. I think too many people spent too much time maybe on SH listening to the BS bashing of some smooth talking manipulators, yelling run for the door the sky is falling. Even now after the clarification release which now sheds new light on the results and we in fact now find out that only a fraction of the cores were tested and they were in fact perimeter holes and that the granodiorite is mineralized by the looks of it to depth. They are still over there yelling sell, sell the sky is falling. Who do you think is increasing there positions at your expense?
Have confidence in your own ability to do DD and research and understand your own investment. Think about this. They were all ranting the other day about how DD was BS and wasn’t worth doing. What does that tell you about the validity of anything that is said on SH by that bunch of bashers?
To the release today.
What did today’s release do:
1) It verified that the holes were mostly perimeter holes.
Now there were some arguing that many are within the large ovoid. Well what does the release say? It says:
Drilling to date has focused on testing the Quantec Titan 24 geophysical targets PRIMARILY SURROUNDING and within the large “ovoid”.
The word primarily is referring to the word surrounding NOT within. To add clarity to this I was told by management that Lloyd had indicated that 8 to 9 drill holes of the 11, were in fact perimeter holes. So there is no need to debate this issue.
2) It verified that the assays were in fact limited to selected areas of the core.(It would seem the veinlet intercepts).
Proof: The new release states:
the Company is in the process of completely sampling Drill Hole TE-11-06 from 60m to 170m on minimum 1.5-metre intervals to more accurately define a potential, bulk-tonnage mineralized target.
Also
anomaly identified by the Quantec Titan 24 Survey at depth on the Property has been limitedly tested by diamond drilling on this round of drilling.
Also
The Company is in the midst of a systematic program of re-sampling and drill core analysis with a focus on increasing the sampling intervals both above and below any noted quartz/sulphide intersections, and where areas of multiple sulphide mineralization were noted, continuous sampling through these zones to combine one single sampled interval. In this capacity, potentially mineralized wall rock between close spaced mineralized veins can be tested, towards bulk tonnage mineral potential. Therefore these were not tested over the entire length of the core that is abundantly clear from this release. As a result even now we still do not have a complete picture of the potential of the complete core.
3) It was indicated today also that the cores have yet to be tested for gold in quartz which again may increase the grade we are currently seeing in the data table.
4) It has now indicated that the granodiorite is in fact mineralized. A question was asked today whether the 37m @.74g/t was the average of the vein intercept values. No it is not. Remember that the veins are reporting only value over 1g/t so if you averaged the veins you would end up with an overall grade above 1 g/t not .74g/t. The .74g/t takes into consideration the gold grades found between the vein materials in the diorite of wall rock which is the disseminated gold between veins. What is VERY significant, is that if you take the over all intercept of 37m and remove the two largest vein intercept values from the equation, you will determine that the other 36m contain an average gold grade of approx .2g/t. This is extremely significant in that it confirms that the areas between the veins are in fact mineralized to the tune of .2g/t (disseminated gold). Yanacocha mines that grade now at a big profit. Understand as stated above this was a 157m deep hole which on the northern flank may not have even pierced the ovoid yet:
flank (fl ngk) n. 1. The section of flesh on the body of a person or an animal between the last rib and the hip; the side. 2. A cut of meat from the flank of an animal. 3. A lateral part or side: the flank of a mountain
Also being a perimeter hole, I believe it is extremely likely that as we step into the anomaly (toward the center) and drill deeper, that in all likelihood the results and grades will continue to get better.
5) Also of note: Lori has mentioned the term “Bulk tonnage mineral potential” 2 or 3 times. I believe this is where this is going, Open pitable disseminated gold project.
If many of the other drill cores after complete analysis indicate something similar to what has been shown in Hole#6 I think we will be in fine shape as we in step to the center of the massive anomalous zones. Just a little indication of how the complet assay of a core can change the value. Let’s say they entire 157m of core was assayed and it came back at 157m @ .5g/t. If you then exclude the 3 biggest vein intercept values, you will end up with a 155.5m core averaging .36g/t that’s within 155m of surface and hasn’t really from my understanding pierced the ovoid yet.
Conclusion:
Considering these are preliminary, limited assays, the vast majority coming from the edge or perimeter of the massive ovoid, this is terrific news and the results are very good and immensely promising going forward. As the existing cores are re-sampled to reflect a more accurate value or the length of the core and the results are posted along with new drill results in the near future, we will get a more complete picture of the overall scale and potential of the property. All so remember we now now that the mineralization runs to depth.
Keep your head folks and make sure you understand the information provided before running out and making kneejerk reactions to false or incomplete data.
