Massive Black Horse Chromite Discovery

Black Horse deposit has an Inferred Resource Now 85.9 Million Tonnes @ 34.5%

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Message: Re: cliffs road versus rail???
3
Apr 26, 2012 09:15AM

Hey Goodheart, I was trying to separate the two components, mining and transportation, in the combined cost of $275M for Q1 (85% increase, which is quite hefty). Any idea if the majority of the cost is due to transportation or due to labour (assuming mining cost is mainly labour cost). The reason for the increase in mining/labour cost can be explained since it the current problem for South Africa (again asuming we are talking about CLF operations in Africa).

But what's the reason for the increase in transportation cost, they are using trucks or RR for their operations there? Increase in diesel price, truck driver's wage, truck fleet maintenance,...

Others, please feel free to jump in. This could be relevant to CLF (or anyone else) operations in the RoF.

Cheers,

goldhunter

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