Is electricity component a major expense? An Anonymous Opinion.
in response to
by
posted on
Jan 21, 2010 08:18AM
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This, from a good friend of mine,
"Nobody knows what the cost of diesel will be when productions starts! However based on the PA study using Hydro vs Diesel will save reduce the cost/oz to between $60 and $68/oz. The capital cost difference is minimal (About 2 millions more for hydro vs Diesel + at least one tank storage to be built for supplying diesel to all the trucks used for hauling the ore -2 to 4 more millions???)) I am sure the PFS will address the subject -it has to!- and in my opinion (due to the highly price volatility of oil)Hydro will be chosen. So everything else being equal the cost per oz would be reduced to just above $300/oz. This is of course my research-based opinion. "
Thanks,
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