sorry buc - but you have no idea. watso was fully aware that it...

sorry buc - but you have no idea. watso was fully aware that it was an ago report which made the comment - and any way, that one looks at it, then the report can only refer to some calculation to a reserve estimate for that part of the prospect.

there is not one chance in hell, that AGO would embark on developing a mine, without first proving a resource. watso has no idea about AGO's financials - but even if they were swimming in money, they would not start mining after drilling only 30 or 40 holes - but there are a whole heap of regulatory stuff to go through .

it seems that AGO are looking at the western part of the relevant prospect for more results - all of that will have to be taken into account, before any mine planning is even thought about.

one thing for sure, is that the prospect is a lot better than what watso originally thought that it was - after all, it had been drilled donkey years ago, and it seemed that gda had picked up a bit of rubbish, that had been discarded by others.

sadly for gda holders - gda (probably via their consultants) were looking in the wrong spot. a poster some time ago mentioned something about a "magnetite play" - which is totally different to a DSO option.

the complex issue, is that the present prospect, which was previously overlooked, seems to have a good surface signature...mmmm but then again, from a lot of experience, that there is so much iron all over the place, that a surface signature could be meaningless

watso does not hold - but there is a good chance of millions and millions and millions of tonnes of iron ore in the first prospect - and there will be more deposits in the immediate area - these deposits do not occur in isolation - so start thinking in terms of a billion tonnes.

ok - here is an amusing thing - even though watso does not hold, he mentioned the stock to an acquaintance and watso mentioned the positives and negatives (with emphasis) about the stock (sat down at the computer, looking at the reports - ( eg the royalty deal with gda, and the drilling results from ago) - and he mentioned having $1000 to play with mmm two days later, watso noticed $900+ worth of shares traded. watso will not ask (next time he sees him) if he was the buyer. hopefully, if he was the buyer, that he makes a few dollars - but that will never recover the loss that he made on the $100,000 that he put into a "hot stock" where he knew the operatives - and got in at the ground level.

it is only a matter of time before AGO make a take over bid for GDA. the market cap of gda is only $1m - and the royalty payment from AGO to GDA is $1+ per ton.... mmmmm watso should double check the deal....

yep double checked - from a report

"Gondwana retains a royalty of $1.13 per tonne for all iron ore sold;"

20 million tonnes is a certainty - a billion tonnes is a probability - but as watso mentioned, these deposits do not occur in isolation .

20 million tonnes of ore is $20m in royalties , when mined plus the prospect of heaps more ore - it will be a lot cheaper to buy out gda


best of luck to holders - and a good punt