Dutch Gold Resources Inc. (fka DGRI)

[HeyItsTheChad]

Where did DGRI get these assay results?

*DISCLAIMER* I'm going to separate fact from *my opinion* for those who think I feed you a bunch of BS.

* The Villa Nueva 1 mine is/was owned by B2Gold through Triton Minera SA.
* They initially had assay results of 6.95g/t (.245 ounces / ton) in the open pit trench.
* They completed 31 exploratory drills and another exploratory trench in late 2010.
* They abandoned the mine shortly after those were completed without posting the results. This was partially because they weren't using whatever mill was on the property, but rather they were shipping the ore 30km to their Limon Mill and this wasn't profitable enough to continue doing so.


I would assume the assay results were no better than their initial assay since they didn't release them to their shareholders. B2Gold is a very transparent company.
I will also assume they didn't think enough gold was there to actually build a mill on site and turn a profit.

http://www.b2gold.com/uploads/presentations/bod%20exploration_june2010_final.pdf
http://www.mem.gob.ni/index.php?s=1&idp=186&idt=1

Operating costs were higher than budget mainly due to the use of a contract miner to supply ore from pits
at the Villa Nueva I concession located 30 km from the Limon mill.

http://cnrp.marketwire.com/cnrp_files/20110331-686244.pdf



And for those of you who are bad at math ->>>

* Operating costs for this area from other seasoned miners averages $700-$850 per ounce. We'll generously assume $700/ounce. Gold is $1590/ounce. That = $890/ounce profit. All mining profits in NI are taxed at federal and local. Currently it is 30% NI and for this region 3% local.

- Profits at .362 ounce/t = .362 * (1590 - 700) = $322 per ton
$322 profit per ton * 33% tax = ~$215/ton split in 2 = $108 per ton milled. 100 tons = $10,800 profit

- Profits at .245 ounce/t = .245 * (1590 - 700) = $218 per ton
$218 profit per ton * 33% tax = ~$146/ton split in 2 = $73 per ton milled. 100 tons = $7,300 profit

Even at .245 ounces/t, profits are pretty good, but not enough to get to $50mil market cap some here are saying!