tag:blogger.com,1999:blog-4145603139776141256.post5763379038398675410..comments2023-08-27T21:32:52.742-07:00Comments on Outside The Interzone: Infrastructure and Mineral WealthLockwoodhttp://www.blogger.com/profile/05960762797349483760noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-4145603139776141256.post-9780466527266585452010-06-22T07:06:24.250-07:002010-06-22T07:06:24.250-07:00Currently, the cataloging and describing of ore de...Currently, the cataloging and describing of ore deposits, resources, and other occurrences in Afghanistan do not constitute "discoveries" in the true sense of the word because 1) some or all the deposits were already known and 2) more work will need to be done before any of them can be mined.<br /><br />Also, the work that will need to be done, will probably be done to meet Canadian NI 43-101 standards, and the dollar amount attached to the value of the resources will drop, perhaps by half or more.<br /><br />An example of this is the recently announced <a href="http://www.duluthnewstribune.com/event/article/id/171849/publisher_ID/36" rel="nofollow">"estimated $1 trillion in the ground"</a> of 900 million tons of copper, whereas <a href="http://www.duluthmetals.com/s/Home.asp" rel="nofollow">the company involved</a> cites a 43-101 compliant "Resource Estimate" of 550 million tons of "indicated resources" and 274 million tons of "inferred resources" of copper. <br /><br />No *resource* estimate is the same as a mineral *reserve* estimate. Like you said, other factors have to be considered before resources become reserves, including all <a href="http://www.cim.org/committees/cimdefstds_dec11_05.pdf" rel="nofollow">"mining, metallurgical, economic, marketing, legal, environmental, social, and governmental factors"</a>. Consequently, in my mind, the $1 trillion announced by the U.S. or USGS for Afghanistan doesn't mean very much. It means, like you said, that the "deposits have been more carefully characterized and quantified" than had been done prior to our engagement there (unless someone in Afghanistan or some former USSR country has/had also done so).Silver Foxhttps://www.blogger.com/profile/03131032620978696727noreply@blogger.comtag:blogger.com,1999:blog-4145603139776141256.post-14984407184264377982010-06-21T13:32:41.769-07:002010-06-21T13:32:41.769-07:00To address one of your concerns let me relate a pa...To address one of your concerns let me relate a past experience. <br /><br />Several years ago I was part of a team sent to Brazil as part of the initial development of offshore petroleum exploration. Initially we sent rigs staffed with experienced expatriates. Once our systems were in place, we began hiring local, very inexperienced staff. <br /><br />Now when I say inexperienced, I’m not saying the guys we hired were working in other industries and simply inexperienced with drilling. The first batch of new hires sent out were bare footed, and the first shoes they had ever owned were the steel toes we issued. They came from little farms out in the jungle where there were no modern conveniences and the only tools were rudimentary, so we had to train them from the ground up.<br /><br />In just over four years those first guys had formed a cohesive crew and were training other new hires. In another ten years, some of those early trainees had ascended to the highest levels of rig management. In short, the lack of experienced workers is a hurdle that can be overcome in relatively short time.Mule Breathhttps://www.blogger.com/profile/05586696064321854554noreply@blogger.com