More matter with less art

Atico (ATY.v) nails a couple of decent holes

Atico Mining (ATY.v) is a newish start-up ran by the Ganoza tribe (behind Fortuna Silver (FVI.to)(FSM)) and the company has been exploring a corner of Colombia, looking for lens-type mineralization that it suspected exists around an established privately owned small mining operation And by the looks of these drill results this morning…

ATDHR-04 41 meters of 6.49% Cu, 17.57 g/t Au and 13.26 g/t Ag
ATDHR-01 41 meters of 6.54% Cu, 1.82 g/t Au and 8.22 g/t Ag

…they’ve found what they’ve been looking for. Let’s play “Oooh Jethro, what’s that rock worth?” in true Casey Research Throw-Glitter-In-Yer-Eyes bullshit style. By using $3.50/lb for copper. $1600/oz for gold and $28/oz for silver, then by using a flat 85% recovery on all metals, we get:

For hole #4

  • Cu 143.1 lbs X $3.5 X 85% = $425.72
  • Au 17.57g X (1600/31.1) X 85% = $768.38
  • Ag 13.26g X (28/31.1) X 85% = $10.14

Total: $1,204.24 per tonne of rock

For hole #1

  • Cu 144.2 lbs X $3.5 X 85% = $429
  • Au 1.82g X (1600/31.1) X 85% = $79.59
  • Ag 8.22g X (28/31.1) X 85% = $6.29

Total: $514.88 per tonne of rock

Nice holes and bound to get greed glands opening wide in Canada this morning. Bascially, what we have here is largely the same kind of thing that Salazar Resources has at El Domo, except that Atico is working in a country that is friendly towards mining rather than Ecuador. But putting all irony aside, these are good holes and the gold kicker they’ve found makes a big difference to what’s understood to be a copper search, conceptually at least. One to watch in trading today.

Disclosure: No position in Atico Mining. None in Salazar for that matter. Long FVI.

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