HTI 0.00% 0.1¢ hydrotech international limited

Ann: Supplementary Prospectus , page-4

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  1. 1,096 Posts.
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    Obviously Tom's Gully is the short term focus, given the high grade existing resource, significant capital access development in place and mill optimised for the ore.

    However, don't be too quick to dismiss Rustler's Roost as a low grade deposit that is of little value. I admit, initially I was not too excited about the 0.9g/t resource grade (for 875Koz) at Rustler's Roost as I believe this grade is generally sub-economic unless heap leaching with today's high cost mining in Australia.

    Then I found this:
    http://www.docstoc.com/docs/46719403/MT-BUNDY-PROJECT-FEASIBILITY-STUDY-COMPLETED

    Valencia Ventures 2004 Feasibility Study with resource estimate completed by SRK. It contains a table with an interesting detailed breakdown by grade. It showed for that estimate, that there were 532,860 ounces of Indicated resource above 1.5g/t. Now that is starting to get into a grade range which is generally economic with today's gold price and costs. The resource has been remodelled since by Crocodile Gold so these numbers have changed a bit, however the main point is that this shows there is higher grade material at Rustler's Roost than the HTI prospectus lists in the current resource table.
 
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