NI43-101 resource base for underground mine
|Cut-off||Measured||Indicated||Measured + Indicated||Inferred|
|Tonnes||Au g/t||oz Au||Tonnes||Au g/t||oz Au||Tonnes||Au g/t||oz Au||Tonnes||Au g/t||oz Au|
The resource cut-off grade of 2.0 g/t Au was chosen to capture mineralization that is potentially amenable to underground mining, sulfide concentration, and gold recovery using off-site processing. This cut-off grade was selected based on a gold price of US$1,300 per ounce, a gold recovery of 92%, a mining cost of US$50 per tonne, a processing cost of US$18/tonne, and a G & A cost of US$6/tonne. The reported resources occur in bodies of sufficient size and continuity to meet the requirement of having reasonable prospects for eventual economic extraction. Due to the necessity to maintain a surficial crown pillar in a potential underground operation, all material from the present surface to a depth of 40 meters is not included in the Salave resources.