Take physic, pomp

Bear Creek (BCM.v) and the art of de-risking

The art is to ignore anything that is really risky and work hardest on the sequin throwing. I will now leave you in the capable hands of A. Reader, a person who has forgotten more than I know about mining for precious metals.
I love this news release They
took a 2015 report that showed that the project was marginal at best
and then updated it in 2017. The 2017 updated showed that, surprise,
surprise, the project is marginal at best. No more met testing had been
done on a very complex ore body and so the result didn’t change. 
And now
their review, using Ausenco’s magic, has managed to turn the project
into something completely “de-risked”. And without even doing any more
of the met testing required to decipher the complexities of the orebody.
This mine has two distinct ore types that require different processing,
and the bulk of the ore is “transition” anyway and no-one knows what
portion of the transition ore (which is around 80% of the orebody) will
be handled by which part of the plant, nor the real recoveries. The
miners had trouble getting to grips with the mining plan, the processors
had trouble with the processing, yet now they managed to de-risk the
plant without any more actual effort in met testing. I love the magic.
So far it appears that no-one has been fooled and that investors know how
to read the fine print. But I wonder when someone is going to fall for
the trap …

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