Inspiration Mining

Welcome To The Inspiration Mining HUB On AGORACOM The company is exploring for nickel deposits on its Langmuir property near Timmins, Ontario; for nickel-gold-copper on its Cleaver and Douglas properties; and for molybdenum and rare earth elements at recently acquired Desrosiers property.

over 13 years ago

in response to whaler's message

Whaler,

If you truly believe .20s grade makes financial sense, by all means go out and mortgage the house. If I were you though, I would wait a little longer till ISM releases the Recovery % rates on the low grade average, the bulk of ISMs Resource in the Micon Report.

2204 times .25 = 5.51 pounds per ton

Recovery might be 50% but you can put in higher numbers if you want.

5.51 times 50% = 2.75 pounds per ton

Multiply that by accountability to Xstrata @80 and now you have 2.2 pounds per ton

Multiply that by a realistic longer term Ni Price I would use 8-9 dollar, but in this example we can use the 13.00 price you like.

13.00 times 2.2 pounds = 28.60 a ton

Now take off your costs I will let you fill in these numbers for the board to consider.

Mining, develop, strip =

Overhead =

Transport =

Milling =

I think you find out grade and recovery means everything, and that is why the market is valuing ISM as it is.