I often see companies reporting a large total resource that is actually made up of multiple separate deposits combined into one number.
When the company knows what they’re doing and has a clear development plan, this can be perfectly reasonable.
Experienced management can integrate the deposits through shared infrastructure and a unified strategy, etc, creating potential value via economies of scale.
However, when this isn’t handled well it can causes problems.
Distinct deposits often have different metallurgy, permitting hurdles, logistics challenges, or economics that don’t combine as cleanly as the headline suggests.
The result can be higher capex, delays, and disappointing outcomes.
This is why ... you guessed it ... you gotta ask & dig.
Always break down the components of a resource estimate. Headline numbers can mask complexities.
Ask & dig.
I did, in my recent conversation with
@AwaleResources $ARIC.V.
The CEOs answer is in the clip below.
The full interview is on YT and wherever you get your pods.