Crocodile strikes gold
About two years ago Crocodile Gold had one main mine called the Cosmo mine.It got some water in the shaft and was very slow developping.Next they bought two almost abandoned mines called Fosterville and Stawell.They announced that they were still working on Cosmo and expected the two new mines to produce ore immediately and until 2015.Nothing much was expected after that but Cosmo would be up and running.
New extensions and new areas
Crocodile Gold did some drilling and found out that Fosterville had extensions to the main ore body.Continued drilling showed that there were in fact three new areas containing ore;these areas were called the Central area,the Southern area,the Robbin's Hill area and the main area where the original mine was located called the Harrier area.Originally Robbin's Hill was considered as separate from the main ore body.Now Crocodile states that there is significant gold in all areas (including Robbin's Hill area) and the original Harrier area has not been depleted.The reason for dramatic change in the size of the ore body in all four areas is the new data obtained from the drilling.Crocodile Gold has found two new fault zones called the Phoenix structure and the Lower Phoenix structure.They seem to run diagonally across the four areas with significant presence in the mostly unmined Central area.In addition,the ore grade is quite a bit higher in the Phoenix structure than in the original mine and even higher in the largely untouched Lower Phoenix structure. The strike length of the structures has not been yet delineated but it seems sizeable.Crocodile Gold now says that there is 16.6 million tonnes of ore at 3.87 grams per tonne "measured and indicated resources" in the Fosterville mine.But there is also unmeasured amount of inferred resources here at a much higher grade .Perhaps another 2 million ounces once you consider the higher grade in the Lower Phoenix structure.
The Cosmo Mine
The original mine was the Cosmo mine.86,500 ounces of gold have been taken from the mine. A total of 57,500 ounces have been removed since June 1 ,2013.The Cosmo deposit remains open down plunge and still hold significant future potential.Crocodile considers that the total measured and indicated resource is at least 500,000 ounces of gold.Inferred resources are not estimated at this time.
New guidance
In a March,2014 press release Crocodile Gold says that the grade for gold in the Phoenix structure is higher than that in the Harrier area.The grade increased from 3.87 grams per tonne up to 10 and 12 grams per tonne but it increased to 24 and 32 grams per tonne in the Lower Phoenix structure.It is not yet clear if the Lower Phoenix structure goes through all areas or only the Central area.It is also not clear on the strike length of both faults are but it is certainly possible that between Cosmo and Fosterville mines Crocodile Gold could have 5 million ounces of gold.Crocodile Gold needs to amend their guidance to show investors how much gold they really have.see blogdaleupsome for advice on gold and mining stocks
New extensions and new areas
Crocodile Gold did some drilling and found out that Fosterville had extensions to the main ore body.Continued drilling showed that there were in fact three new areas containing ore;these areas were called the Central area,the Southern area,the Robbin's Hill area and the main area where the original mine was located called the Harrier area.Originally Robbin's Hill was considered as separate from the main ore body.Now Crocodile states that there is significant gold in all areas (including Robbin's Hill area) and the original Harrier area has not been depleted.The reason for dramatic change in the size of the ore body in all four areas is the new data obtained from the drilling.Crocodile Gold has found two new fault zones called the Phoenix structure and the Lower Phoenix structure.They seem to run diagonally across the four areas with significant presence in the mostly unmined Central area.In addition,the ore grade is quite a bit higher in the Phoenix structure than in the original mine and even higher in the largely untouched Lower Phoenix structure. The strike length of the structures has not been yet delineated but it seems sizeable.Crocodile Gold now says that there is 16.6 million tonnes of ore at 3.87 grams per tonne "measured and indicated resources" in the Fosterville mine.But there is also unmeasured amount of inferred resources here at a much higher grade .Perhaps another 2 million ounces once you consider the higher grade in the Lower Phoenix structure.
The Cosmo Mine
The original mine was the Cosmo mine.86,500 ounces of gold have been taken from the mine. A total of 57,500 ounces have been removed since June 1 ,2013.The Cosmo deposit remains open down plunge and still hold significant future potential.Crocodile considers that the total measured and indicated resource is at least 500,000 ounces of gold.Inferred resources are not estimated at this time.
New guidance
In a March,2014 press release Crocodile Gold says that the grade for gold in the Phoenix structure is higher than that in the Harrier area.The grade increased from 3.87 grams per tonne up to 10 and 12 grams per tonne but it increased to 24 and 32 grams per tonne in the Lower Phoenix structure.It is not yet clear if the Lower Phoenix structure goes through all areas or only the Central area.It is also not clear on the strike length of both faults are but it is certainly possible that between Cosmo and Fosterville mines Crocodile Gold could have 5 million ounces of gold.Crocodile Gold needs to amend their guidance to show investors how much gold they really have.see blogdaleupsome for advice on gold and mining stocks
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