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: The problem in B&W, the fast highway to trouble.

IF Aroland want Cliffs smelter to be near their land then they should provide an incentive to do so. Cliffs is building it where it feels is most economically suitable to them. I do not think Aroland has the capability to offer any incentives but only disincentives IF the smelter goes elsewhere. That does not stand well for Aroland.

I have stated well over a year ago that I thought that the smelter should go near Nakina due to it being needed there the most because of the jobs and development for the region. That would be developing of the north. Also why transport the ore all the way to the likes of Sudbury or Thunder Bay when you can smelt closer to the source and transport a more concentrated/reduced product, reducing transportation costs.

HOWEVER the more mitigating circumstance is electric power cost over rail transportation, smelting being highly electric power demanding. For Nakina an electric power line would have to be built and Cliffs does not want to be doing that. These are the deciding factors on location.

So if Aroland has an ax to grind it should do so with the Ontario government for not providing the transportation and power that the region needs.

And how is the government to find the money to provide such infrastructure?
Go into further debt against future tax benefits from the mine developments?
That takes guts and foresight.

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