BCSC has new report out that Dkolish posted a small summary: just thought I would share further:
b) Importance of geological model
We have seen a number of situations where QPs are estimating mineral resources without
the application of an appropriate geological model or the consideration of geological and
grade continuity between data points. For example, we have seen cases where QPs are
assigning resource categories based solely on distances from, or areas of influence around,
individual drill holes. In other cases, we see search ellipsoids used that appear inconsistent
with, or without apparent consideration of, the structural controls of the mineralization.
For example, the definition of mineral resource incorporated in the Mining Rule provides
“The location, quantity, grade, geological characteristics and continuity of a
Mineral Resource are known, estimated or interpreted from specific geological
evidence and knowledge”.
The CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines
(the CIM MRMR Guidelines) state:
“Geological interpretation is a fundamental element of MRMR estimation. …
The conceptual geological model and ideas regarding the genesis of the deposit
should be presented and considered in their relation to the resultant MRMR
“Mineralization may be defined or limited by some combination of structure,
lithology and alteration envelope. These limits or boundaries should
Thbe whole report is well worht a read, especially if you are going to invest in Jr. or even producing mines.