Galantas Gold Share Discussion Threads

[sirookietrader] 03/7/2012 14:33

From memory I thought previous measured and indicated was 88,000 ounces (before any mining) so in that case they have replaced. The drill program has been running for circa 7 months (? - again from memory) so it looks like it could take a long time to get to some juicy figures :( Nice to see real progress though.

[richandjanet] 03/7/2012 14:27

So despite having 6 rigs on site we haven't even replaced the gold we have mined

Just puts into perspective how much drilling would have to be done to reach 1ml ozs Not to mention the huge cost

[sirookietrader] 03/7/2012 14:27

Grades look good to me. It's exciting if they have 'a lot' more tonnage at these sorts of grades, but do they?

[bahamasoil] 03/7/2012 14:24

You are reading tonnes as ozs
Would have been nice, but we know more to come

[richandjanet] 03/7/2012 14:23

So nothing to get excited about

[sirookietrader] 03/7/2012 14:21

That is the tonnage randj. Indicated and measured = 95,000 ounces. A lot of drilling still required here imo.

See RNS on this link :

[richandjanet] 03/7/2012 14:19

RNS not onADVN again

but does that read

measured 15250 ozs

indicated 411600 ozs

inferred 839000 ozs

This seems a huge move forward

[nobbygnome] 03/7/2012 14:10

GALANTAS RECEIVES INITIAL DATA FROM NI 43-101 PRELIMINARY ECONOMIC ASSESSMENT
3rd July 2012 : Galantas Gold Corporation (Galantas or the Company) has received information from ACA Howe International Ltd (ACA Howe UK) related to its preparation of an independent National Instrument 43-101 ("NI 43-101") compliant mineral resource estimate and a Preliminary Economic Assessment for Galantas Gold Corporation's Omagh gold deposit in Northern Ireland.
The mine design proposal by Galantas is for a mining rate for the recovery of 50,000 ounces per year of gold in concentrate. Howe regard this target as challenging, and have performed sensitivity analyses, using the same labour cost, for 40,000 ounces per year and 30,000 ounces per year gold in concentrate. A Gold price of $1375/Oz has been used in each case and a USD:GBP exchange rate of 1.60 applied. The study is based upon detailed data available from an internal cost study by Galantas and the quoted Mine Life Revenue is net of Capital and Operating costs. The Capital cost of establishing the underground mine and processing plant is estimated at GBP16.7m including a 20% contingency.
The results of these studies appear in the table below.

Case Study Mine Life IRR NPV @5% NPV @ 5% Mine Life Cash Cost
Output/Yr Revenue GBP USD $ Yrs Gold in concentrate
Net USD $ per
ounce
------------ ----------- ---- -------- --------- ---------- ---------------------
GBP80.1
50,000 ozs m 81% 62.6 m 100.2 m 5 500 $
------------ ----------- ---- -------- --------- ---------- ---------------------
GBP75.4
40,000 ozs m 69% 57.3m 91.6 m 6 538 $
------------ ----------- ---- -------- --------- ---------- ---------------------
GBP71.3
30,000 ozs m 54% 51.2 m 82.0 m 8 600 $
------------ ----------- ---- -------- --------- ---------- ---------------------
For the purposes of this preliminary economic assessment, the Mine Life stated in each case has been calculated using the sum of measured, indicated and inferred resources on the Joshua and Kearney veins only from the Howe study, inferred resource making up some 70% of the total. In conformance with NI 43-101, section 2.3, it should be noted that this economic assessment is preliminary in nature, that it includes inferred mineral resources that are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary economic assessment will be realized.
Drilling continues and that is designed to improve technical information concerning the inferred resource (and other resources) used in the study, particularly those relating to the Joshua and Kearney veins, where inferred resources based upon downward, less drilled extensions to the veins have been used for a calculation of mine life. A further assessment is expected to be made when that information is received.
Nigel Pearson B.Sc., C.Eng., FIMM, is the Qualified Persons for the Preliminary Economic Assessment component of the NI43-101 Report on the Resource Estimate of the Omagh Deposit and has reviewed and approved the contents of this press release.
The resource estimate is based on drilling results received up to 8(th) June 2012, which are part of a continuing drilling programme. The following table summarises the block model estimate:

ZONE CATEGORY CUT-OFF 2.5 g/t Au
--------------- ----------- --------------------------
TONNES Grade Au ozs
(Au
g/t)
--------------- ----------- -------- ------ --------
KEARNEY INDICATED 270,900 7.94 69,000
--------------- ----------- -------- ------ --------
KEARNEY INFERRED 490,000 8.54 135,000
--------------- ----------- -------- ------ --------
JOSHUA MEASURED 13,000 6.48 2,800
--------------- ----------- -------- ------ --------
JOSHUA INDICATED 66,800 6.27 13,000
--------------- ----------- -------- ------ --------
JOSHUA INFERRED 173,000 8.48 47,000
--------------- ----------- -------- ------ --------
ELKINS INDICATED 68,500 4.24 9,000
--------------- ----------- -------- ------ --------
ELKINS INFERRED 20,000 5.84 3,800
--------------- ----------- -------- ------ --------
KERR MEASURED 2,250 6.75 500
--------------- ----------- -------- ------ --------
KERR INDICATED 5,400 5.03 900
--------------- ----------- -------- ------ --------
KERR INFERRED 26,000 4.58 4,000
--------------- ----------- -------- ------ --------
GORMLEYS INFERRED 75,000 8.78 21,000
--------------- ----------- -------- ------ --------
GARRY'S INFERRED 0 0.00 0
--------------- ----------- -------- ------ --------
PRINCES INFERRED 10,000 38.11 13,000
--------------- ----------- -------- ------ --------
SAMMY'S INFERRED 27,000 6.07 5,000
--------------- ----------- -------- ------ --------
KEARNEY NORTH INFERRED 18,000 3.47 2,000
--------------- ----------- -------- ------ --------

TOTAL MEASURED 15,250 6.52 3,300
--------------- ----------- -------- ------ --------
INDICATED 411,600 7.01 92,000
--------------------------- -------- ------ --------
INFERRED 839,000 8.53 231,000
--------------------------- -------- ------ --------
Note: (1) Rounded numbers, gold grades capped at 75g/t. Mineral resources that are not mineral reserves do not have demonstrated economic viability.
ACA Howe UK has supervised the drilling and sampling program on an intermittent basis in order to maintain a necessary level of confidence and enable preparation of an NI 43-101 compliant resource estimate.
The database used by ACA Howe for the resource estimate contains 9,740 assay results from 255 surface diamond drill holes (total of 26,379 metres) and 494 channels. Fifty two drill holes were completed in 2011 and 2012. Samples were assayed by fire assay with atomic absorption finish using 30 gram charges at OMAC Laboratories, Ireland (now ALS). A Micromine block model with sub-block cell dimensions of 1.5 metres (X), 0.5 metres (Y), 0.5 metres (Z) was coded to reflect surface topography and geology, A total of 45 individual vein domains were identified, including 22 at the Kearney Zone and 6 at the Joshua Zone. Gold grades were estimated from 0.3 metre length-weighted composites into the interpreted mineralized blocks. The estimates were calculated using Inverse Distance Squared and Cubed (ID2 and ID3) using parameters established from analysis of the variography within each domain. Based on the variographic analysis, search ellipses were created to enable a four-pass approach to interpolate gold grades into the blocks. A density factor of 2.984 grams/cc was assigned to all mineralized veins except Elkins, for which a density factor of 3.636 was used, based on measurements of specific gravity performed by Galantas. For resource classification, 4 trenches or drill holes with 4 composites were required within the search ellipsoid for measured class, 2 drill holes with 3 composites were required for indicated, the remainder being inferred.
Richard Parker, B.Sc., C.Eng, MIMMM. is the Qualified Persons for the NI43-101 Report on the Resource Estimate of the Omagh Deposit and has reviewed and approved the contents of this press release.
The Company intends to file a complete Technical Report on SEDAR within 45 days of this release, as required by NI 43-101.
Roland Phelps, President & CEO, Galantas Gold Corporation commented, "The Preliminary Economic Assessment, which shows high Internal Rates of Return and low cash cost of production, in a politically stable jurisdiction, confirms our confidence in the Omagh property. We expect to continue to further invest in drilling and infra-structure, moving to a more detailed feasibility with the goal of establishing an underground operation around a target production of 50,000 ounces per year of gold in concentrate.
Discussions have already been initiated with potential lenders to gauge interest in financing opportunities based on debt, with encouraging results.
A further report is scheduled after the 15,000 metre drilling program is complete. Our permitting application for an underground mine, with accompanying Environmental Impact assessment, is now complete and expected to be filed in the week commencing 2nd July 2012."
SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS: This press release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws, including drilling intersections and analyses, for the Omagh Gold project. Forward-looking statements are based on estimates and assumptions made by Galantas in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that Galantas believes are appropriate in the circumstances. Many factors could cause Galantas' actual results, the performance or achievements to differ materially from those expressed or implied by the forward looking statements , including: gold price volatility; discrepancies between actual and estimated production, actual and estimated metal grades and geologically interpreted widths, actual and estimated metallurgical recoveries; actual and estimated costs; mining operational risk; regulatory restrictions, including environmental regulatory restrictions and liability; risks of sovereign involvement; speculative nature of gold exploration; dilution; competition; loss of key employees; additional funding requirements; planning and other permitting issues; and defective title to mineral claims or property. These factors and others that could affect Galantas's forward-looking statements are discussed in greater detail in the section entitled "Risk Factors" in Galantas' Management Discussion & Analysis of the financial statements of Galantas and elsewhere in documents filed from time to time with the Canadian provincial securities regulators and other regulatory authorities. These factors should be considered carefully, and persons reviewing this press release should not place undue reliance on forward-looking statements. Galantas has no intention and undertakes no obligation to update or revise any forward-looking statements in this press release, except as required by law.

[nobbygnome] 03/7/2012 14:06

Announcement is out. An enormous amount of infomation to digest....

Nobby

[ttnyrp] 03/7/2012 12:53

Cheers bamboo. Did you get that from "sources familiar with the matter"? (don't you just love that phrase?)

I'm trying to figure out what this approval says for the likely disposition of the authorities towards the underground mining application.

On the face of it if the planners/local politicians don't like the idea or there's likely to be a huge fuss maybe you might think they would kick the adit application into the long grass (as they are inextricably linked) via the usual delaying tactics. As they've approved it, that would appear to be a positive signal, maybe they are finally getting the jobs message?

[nat hart] 03/7/2012 12:02

Thank you bamboo2 all good stuff. I guess we will be getting more news soon. Let's hope it's all as positively good. GLA

[bamboo2] 03/7/2012 11:28

News.

At the planning meeting last night the Entrance Adit was approved.
Once constructed, there will be space to remove the existing spoil heap and make the mine less visible, thus hopefully keeping the neighbours and council happy. Further, this opens up the kearney vein to further ore extraction and other enabling works will be able to take place.

[bamboo2] 02/7/2012 18:34

Omagh planning committee meets this evening.

[topbidd] 02/7/2012 18:20

Aside from the updated drilling report, is there any news due with regard to any planning applications?

[bamboo2] 02/7/2012 18:09

might be some news!

[the count] 02/7/2012 17:48

--->BAMBOO2

So hopefully we can get a statement any time from tomorrow onwards?

Let's hope we get something this week.

Regards,

THE COUNT!

[bamboo2] 02/7/2012 16:32

TSX Stock Market Holiday Canada Day - July 2, 2012 (In lieu of July 1)

[ttnyrp] 28/6/2012 12:41

--->The Count

AFAIK Kearney remains as per the statement in the 2008 Howe report (I've not seen anything to contradict it unless anyone knows better?)

"The Kearney deposit remains open along strike and at depth to the north whilst the southern extent of the deposit remains open along strike at shallow depths and has not been closed off at depth."

Joshua we know is open in all directions from the last drilling report

"The known length of Joshua Vein has increased, has so far been traced over 836 metres and remains open horizontally and vertically."

Re potential depths, I once asked Roland about the Atlas Copco CS14 which you'll remember is the rig purchased new. The RNS was very detailed about it's capabilities (up to 1400m or nearly 9 times as deep as the recent Joshua intercepts).

Roland said to me that "Traditionally this style of mineralisation is deep seated. By deep I mean even beyond the CS14 capability."

[the count] 28/6/2012 11:55

--->ALL

The report hasn't been concluded yet.

I think it is as simple as that. The company has no influence on the report save the data it sends to those compiling the report as otherwise it would not be an indpendent report.

I think a little more patience is needed, that's all. Typical, when there are delays, people have nothing much to do or talk about so they automatically start to self induce notions of negativity. Nobody knows anything just yet.

On another note, we are establishing the length of resource in Kearney and Joshua. Have we reached an end to mineralisation in any direction (for those who understand all these reports better)?

And I also think I am correct in saying that on the actual depth of mineralisation, that too is currently open ended without any limits yet reached simply because we are not drilling to great depths because of cost, choosing instead to go for the low hanging fruit represented by the shallower and less costly drilling first. What depth of mineralisation could we hit? Could the4se veins go as far as 1,000 - 2,000 metres even? or more?

Have we hit any bounds yet on either Kearney or Joshua?

Regards,

THE COUNT!

[richandjanet] 28/6/2012 09:26

I agree that Joshua looks like it could a really big find As Rolland said in his last presentation "Joshua could be another Kearney" It probablly requires a lot more drilling to uncover the full extent of what is there

[bahamasoil] 28/6/2012 07:54

topbidd, the possible benefit to GAL may be by providing two great News updates in quick succession having the effect of a double barrel shotgun.

A bigger B'bang ;¬)

BWDIK

[bamboo2] 27/6/2012 20:54

ttynrp, well done, good post.

There is also another key difference between the 2008 Howe report and the new one. Chris Brown.
I keep on about this because I think that his involvement in the co corresponds directly with the current uptrend in the share price
I feel quite proud of Galantas' achievements over recent times and remain unfazed by delays in assays and publication of the latest instalment of Howe.

[ttnyrp] 27/6/2012 20:17

Re delays being bad news - I don't agree with those conclusions. Reasons -

1) The previous Howe report marked the transition between reporting codes as far as Galantas is concerned (previously JORC, now NI 43-101) hence the risk of estimation methods being different, reclassification into different categories, the general stricter standards of the Canadian instrument.

Hence, always the risk of these factors prompting a resource estimate different than that which might be expected/estimated from the exploration results alone.

The 2012 interim report and the 2008 report will conform to the same reporting codes, so the exploration results should direct us more confidently as to the reports conclusions.

2) Let's not forget all the hard work and excellent intercepts published since then.

Just one stat -

The 2008 report defined Joshua in 2 zones over 500m of strike to a 50m depth. The last drilling report - Joshua traced over 836m of strike, 8.4g/t over 4.5m at 160.6m.

In other words (and very crudely), Joshua is currently known to be at least 2/3rds longer and 3x deeper than we knew in 2008. No wonder the extra land overlying Joshua was bought in January.

3) The 2012 interim report was originally scheduled for the end of May, then mid June after Q1 results. No-one likes being spooked by delays but the first delay didn't surprise me. Then we had drilling results announced on the 11th June and the 2nd paragraph says

"The results (tabulated below) will be added to those previously reported, for the purposes of an interim resource report currently being prepared by the Company's independent consultants to revise the estimate of resources for the property"

Whilst not specifically announcing a revision to the mid June publication date, my take from that is that Roland wants to include them in the interim report as they will inform the market about the significant scale of Joshua sooner rather than later.

[topbidd] 27/6/2012 19:37

BahamasOil

But what would be the benefit to GAL if they are holding it back for that reason?

[bahamasoil] 27/6/2012 19:18

May be being held back to coincide with a statement on the second batch of Kenglo warrants due 22nd July 2012.