HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

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)

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Message: Re: Who gets the smelter???????
15
Jan 14, 2011 11:50AM

Very interesting post, RR -- looking forward to the next "chapter".

Going by memory (a rather faulty one) the raw chromite ore is converted to "ferrachrome", is that right? So though there is zero cost for rail transport from railhead to Nakina smelter, there would be a cost moving the "ferrachrome" onwards to its customers.

How much of a volume and weight reduction would there be in the conversion? This will affect the pricing and I still like Sault Ste Marie's chances. You're getting the end product closer to the jumping off spot for it's ultimate destination.

That is, chromite as a strategic commodity will likely be kept in the North American loop for political reasons. If the final destination is offshore (i.e.: Asia) the dynamics will be different. Gives Thunder Bay, as a port (freshwater) a shot at it and longshot, a seaport in Ontario (James/Hudson Bay) which we need in the long run for development of the vast Northland and its immense resources.

Brainstorming only -- maybe a lot of wishful thinking as of today, but not "tomorrow". The sooner the better I say for little old Southern Ontario to wake up!

Just IMHO, O.F.

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