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A year ago Mason increased the measured and indicated mineral resource for its Lac Gueret project by a whopping 658 percent. Monday it upped it by a more modest 31 percent.
A year after it increased the measured and indicated mineral resource for its Quebec-based Lac Gueret project by a whopping 658 percent, Mason Graphite (TSXV:LLG,OTCQX:MGPHF) is back with another update.
The company said Monday that this time it has upped the project’s measured and indicated mineral resource by a more modest 31 percent. It now sits at 65.7 million tonnes grading 17.2 percent Cg at a 5-percent cut-off grade, up from 50 million tonnes grading 15.6 percent Cg. That includes a high-grade resource of 9.7 million tonnes grading 31.2 percent Cg at a cut-off grade of 25 percent.
Meanwhile, Lac Gueret’s measured mineral resource has been bumped from 4.5 million tonnes grading 15.5 percent Cg to 19.1 million tonnes grading 17.9 percent Cg, also at a cut-off grade of 5 percent.
Commenting on the results, Benoit Gascon, president and CEO of Mason, said, “[t]he update has further increased our knowledge and confidence in the Lac Gueret mineral deposit, which will be very helpful in identifying further optimization opportunities as we develop the Feasibility Study for the project. Furthermore, since only the Measured and Indicated categories are considered in the calculation of mineral reserves, the increases in the size and grade of these categories could result in a larger mineral reserve than what could have been expected with the previous mineral resource estimate.”
His continued enthusiasm for the project is refreshing in today’s tough markets, but also understandable — the potential of Lac Gueret reportedly lured Gascon, former CEO of Stratmin Graphite, back into the world of junior mining.
That said, investors may be wondering what’s next for the project — after all, updated resource estimates can only take it so far. Fortunately, Gascon also provided some information in that regard, noting that in 2015 Mason expects to update the technical report for Lac Gueret in conjunction with the completion of a feasibility study.
At close of day Monday, Mason’s share price was sitting at $0.65, up 4.84 percent. It hit a high point of $0.67 earlier in the day.
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Related reading:
Mason Graphite Records 658-percent Increase in Measured and Indicated Resources
