Peter George has been on site with them for the past two years. The president of Barkerville was expecting a large number but the general consensus was they were expecting around 4-5MM oz. Peter George ran the numbers, it came out 10.6 million oz. is what the computer kicked out. So he did the whole calculation over again and it came out with the same number. He contacted management and Peter George told management they better be in contact with their attorney. Their attorney told management they had to disclose the number because if they didn't the leakage over the next few weeks waiting for the report would get people nailed on insider trading. This was not the answer management wanted - they wanted to wait for the final report. According to the guy I spoke with he sat in on a presentation Peter gave and said he is very comfortable with his number and thinks there is really 81-90 million oz. It was reduced to 65-90 million oz to give a better range.
The IR guy brought up Rubicon and said that because of that Peter applied some form of cap grade - he did not know what it was. But that there is one in place, so ideally that does not happen.
He said Norman Anderson was on the property and spent a full week going over Peter George's methodology in his calculation prior to the computation taking place.
He said QR - will begin production in a week, and reminded me that there are 7 past producing mines on their land package, and that they stopped production when gold was at $369 per oz.
The story as the guy told it seemed to make sense. He said they are not happy with Brent Cook as they invited him on site 3 times in the past year, which they understand he is busy but for him then to do a number on them they felt was unfair.
I guess Barkerville and Rubicon's management has gotten very close, on account of using Peter George as their geo for both firms. The guy I talked to said that the head grades that Rubicon is pulling out of their mine is consistent with Peter's original report. I thought that was interesting.