RE: JORC from American Rare Earths - huge reserves9 Feb 2024 06:11
Hogsnipe, A word of warning ~ ARR are either dreamers or pork pie sellers, they pumped hell out of La Paz and it has turned out to be a flop. ! A quick reality check :- According to their latest "News" release they have drilled a total of 9031 metres over both of their Wyoming "Project" areas. If we are very generous and assume an area of influence of 100m x 100m (10,000 BCM) for each metre of depth of drill hole and use an SG of 2.3 you end up with 207 Million tonnes and that's all. SO what are they basing the other 2.1 Billion tonnes of Indicated and Inferred resource on ????
Now any self respecting Geologist or Mining Engineer will tell you that it is stretching the friendship to classify a RE Resource higher than "Indicated" based on a 100m drill spacing and yet ARR are saying that this is Measured @ 200m spacing !!!! And if IT IS all Measured where on earth are they getting the other 2 Billion Tons from !!!!
FYI. The majority of Longonjo was drilled out at around 50m x 100 intervals; and 50 down to 25m with an average depth of 30m in the proposed Pit area. The drilling is still open on at least two sides and at depth, but Management are being honest enough not to speculate any Resource estimates beyond the drilling envelope.
A simple comparison of Longonjo:, and Halleck Creek at a 1,000ppm cutoff ~
LJ has a Total mineral Resource (measured, indicated and inferred) of 313Mt grading 14,300ppm REO. which contains 990,000t of NdPr; They drilled roughly 9,130 m in 300 holes to give an average depth of 30metres. ( Mostly the free dig shallow & weathered material )
Yet for roughly the SAME AMOUNT of drilling at Halleck Creek, ARR claim to have 207Mt grading 3720ppm; which they say contains just 187,000t of Magnetic RE's ! No comparison to LJ's is there really ?
Then , ARR have drilled down to 320metrs (which is probably one factor in calculating the large Inferred resource). Do you know how long it would take to mine down to that depth ? You might as well forget about anything below 120m when calculating a NPV(10) !
Lastly verbose cross promoting is considered bad form, a simple heads up and http reference would do..