Hello LP,

Very nice writing and analysis. Agreed with you on many points. In the end, I would see the RR built since it is the backbone of any bulk mining development, e.g. just look at Quebec. Also, I would like to see a small service road running N-S with branches to various FN communities. Although people in the northern communities can put their cars on the train for a partial trip to the south, say Nakina, then take the car off the train to go elsewhere, but taking the car all the way, from their homes to Toronto or some other large centres, is still a more popular option for most people, especially in the summer time when the swamp is impaasable, currently. They would need a small permanent road. I would leave that for the 2 governments to sort out, since developing/assisting the northern communities is their responsibility, especially the Fed (it has the $).

However, I have different opinions on the topic of slurry pipe, and I will address them in the order you presented.

1. "the slurry pipe does nothing to develop the northern economy, nor does it improve the quality of life for the FNs....in what could be a blossoming northern economy by building a pipe".

Two points: The slurry pipe is only one part of the mining operation. It's an appendix to the mine which is the driving force for development of the northern communities. As you have indicated, there will be construction jobs. But there are many other (high paying operation) jobs for the young FN folks who have been taking courses under the Fed programs. There will be maintenance (and security) jobs, around the site, along the entire stretch of the pipe. Just leave that with me and I will find more jobs for the local folks. As a starter, how about a food wagon for construction workers, this is a lucrative business, lol.

2. "the slurry pipe does not create capabilities for anyone else but KWG..."

Connecting to the other end of the pipe is the Gas Super Converter which can be provide service to other companies from the RoF or from the surrounding areas. There are at least 3 companies that have chromite, KWG, NOT and PRB/BC, and the combined deposit would last for many years (100 years, somone said?). In addition, I would visualize that this Gas Cooker could be customize to roast other things, beside chromite.

Of course, the ore slurry would be sent down by the pipe which belongs to KWG (just like a toll road, a "pay as you go" service.

3. "the slurry pipe does nothing to attract deep pockets from around the globe except as it relates to KWG's prosperity."

The slurry pipe and the Gas Super Converter attached to it at the other end are significant cost saving solutions for a deep pocket which would pay a lot of attention the bottom line of any operation. The more profit the better for them. Also, a low Capex is also an important consideration. If KWG can pull it off, a major chunk of KWG would belong to the deep pocket. They may absorb all of KWG, making it their subsidiary, and pay us off with cash or their shares (I would take either, as long as it's lucrative enough). We would have a smaller part of the eventual KWG, but the value will be a lot higher. All longs with a major chunk of the now KWG would be able to retire in the Caymans?

4. "You don't build roads to a slurry pipe on-load facility but you do develop a road network that connects to a Rail head."

The RR and service road are the must for any major development. The Port Authority can have RR built, and KWG and others would use it to transport heavy equipment, supplies,...and DSO of the chromite for direct sale to others. The slurry pipe may not be suitable for the DSO. I am speculating here, but I can see the possibility of KWG and others to use the RR for many things. The slurry pipe is just a technical feature of a mine design with specific application in mind.

5. the transfer of financial burden (capital risk) cannot be achieved with a slurry pipe given that it accomodates only one commodity and 2 or 3 companies who would be mining it.

It's time to get ready for dinner, hence it would leave this point for other posters to comments.

Cheers,

goldhunter