Re: Glencore Xstrata, Vale in talks over Canadian nickel ...
posted on
Oct 12, 2013 09:00AM
Did all of you here notice what I did?:
"Glencore Xstrata and Vale have revived talks over a potential combination of the mining groups’ nickel operations in Canada’s Sudbury basin, in an effort to cut costs as prices for the metal languish"
"Ivan Glasenberg is calling on the new generation of mining CEOs to learn from their predecessors and stop building so many new mines just because they can."
Why build to lose?
"Norilsk Nickel, the world’s largest producer of the metal, estimates roughly a third of producer are losing money"
"Others estimate more than half the industry is burning cash to produce."
Now. Who has one of the least expensive resources on this planet to produce nickel?
Mind you that to produce that nickel a mine needs to be built and to do that some basic infrastructure needs to be present.
So why build a mine if it is to produce nickel at a losing price. But if you can build one that can produce at not only a high profit but at virtual zero cost ( PM credits), will you still say no to building?
I think they have an eye or two on Noront and the Ring.
Ontario politicians, are you reading and noticing same?
When are you going to apply some grease to the wheels moving the needed infrastructures and permissions? Don't you have enough missing jobs in Ontario and more so in the north? Get the lead out of your butts and earn your keep.
Thanks Luker for providing this posting for further thought.