Here’s your 3-minute quick read of Fresh Thinking by Snowden Optiro’s podcast Episode 116.
We’ve pulled out the key insights and takeaways – perfect for when you want the value, minus the headphones.

Why Geology is the Backbone of a Reliable Resource Estimate

In Episode 116 of Fresh Thinking by Snowden Optiro, Executive Consultants Ian Glacken and Bob Jankovic explored the foundations of high-quality resource estimates – and why geology remains front and centre.

With experience spanning Canada’s major operations and project evaluations for companies like Detour Gold and Hudbay Minerals, Bob brings both operational and financial insight to the conversation. His key message? Resource estimation must begin and end with geology.

Don’t Bypass the Basics

Bob stresses that far too often, teams shortcut the geological interpretation process in favour of speed. The result? Misleading models, misunderstood mineralisation, and compromised estimates.

He highlighted that many projects underestimate the importance of understanding grade distribution, population analysis, and coefficient of variation (CV) before even touching modelling tools. Without this foundational knowledge, applying capping becomes arbitrary – and risks distorting the deposit’s true potential.

Capping: Art, Science, or Both?

Capping – or top-cutting – remains a hot topic. Bob pointed out common pitfalls: under-capping (which inflates resource estimates) and over-capping (which can lead to under-reporting and surprises at reconciliation). The solution? Use histograms and probability plots to identify real outliers rather than applying blanket rules.

He also shared examples from Canada where attempts to replace capping with grade shells led to misleading results – “a bunch of clouds” unrelated to geology. Capping remains essential but must be geologically justified, not mechanically applied.

Composite Length and Domains Matter

Composite length is another overlooked parameter. While some choose a default based on sample intervals, Bob emphasises the importance of aligning composite length with block size, deposit style, and mineralisation geometry.

Even more critical is domain definition. “I spend 90% of my modelling time on domaining,” he says — and for good reason. Poorly defined domains lead to misleading results, no matter how accurate the rest of the model may be.

Market Conditions Don’t Excuse Poor Estimation

Finally, the duo discussed how high commodity prices can mask estimation flaws. Projects that rush to feasibility based on bullish assumptions may still make money – but when prices fall, reality bites. Solid estimation practices become essential to project survival.

As Bob puts it, “We’re not reinventing the wheel – but the basics are still being overlooked.”

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Watch or listen to the full episode
Available now on YouTube, Spotify, Apple Podcasts, and all major platforms.

Stay tuned for more 3-minute articles from our Fresh Thinking 3-Minute Read series.

If you would like to contact either Bob or Ian: contact@snowdenoptiro.com

Here is a LINK to our Snowden Optiro YouTube channel.

Snowden Optiro is a resources consulting and advisory group that provides independent advice, consulting and training to mining and exploration companies, their advisors and investors.

We help mine developers to advance their projects, mining companies to improve their operations and their professionals, and investors to de-risk their investments by the provision of quality advice, training and software in the field of Mineral Resources and Mineral/Ore Reserves.

LINK to Snowden Optiro website