Re: if we have 7000000 lbs
in response to
by
posted on
Feb 22, 2008 11:41AM
NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)
Tough to get reliable figures on all season road construction in the lowlands. That's why I used two figures of $500K and $1M per km. The latter is a figure that I believe Debeers released quite a while ago, but has never been mentioned since for an "all seasons" road from Attawapiskat to the Victor Mine. The former is a figure from road construction in NE Manitoba to a First Nations community, however, the road maybe totally on the Precambrian Shield, and a lot less expensive than over the James Bay Lowlands. Its important to realize that, in my opinion, an "all season" road is a must. A "winter only road" would insert a high , and maybe unacceptable, degree of uncertainty re cash flows from the project. Winter roads are OK for the diamond mines in the NWT and Northern Ontario, but remember they are shipping out diamonds which may only amount to a few pound a year. Some have suggested the use of "air ships" for transportation to remote areas such as this, but to date it only looks good on paper.
My calculations were based on production of a concentrate at the mine site. I did not include any smelter/refining charges, however, I do not think that they would be a major impediment to mine development. Lets look at the deals that FNX and First Nickel have with Vale and Xstrata respectively.