RE: RE: Mr Market is up .09 in the last 2 trading'''Who else is going to compete against ABM/AMI for the next 10 years in the Tar Sands?''''
CINDYLOU__You have two HUGE holes in your brash statement above.
First off, HOW do you expect ABM is going to produce gravel for the next 10 YEARS when the AMI managers have clearly stated in the Information Circular that there are ONLY an estimated several more years of gravel remaining in the Susan Lake pit?
QUOTE__Currently, there are two major sources of aggregates in the region, the Poplar Creek Gravel Pit and the Susan Lake Gravel Pit, both managed by AMI. With the exception of sand, Poplar Creek is running out of gravel. AMI estimates that the gravel in this pit will be depleted by the end of 2008. Management of AMI estimates the gravel in the Susan Lake Gravel Pit will last for several more years at current rates of consumption__end of quote.
And with regard to competition for the tar sand aggregates business you have conveniently overlooked BIRCH MOUNTAIN who have a large operation which produces, as one of their many products, crushed limestone aggregate__which the tar sand companies have found to be much better than ordinary pit run gravel for their haul roads and infrastructure/construction bases.
The crushed limestone packs much better than gravel, providing much less resistance to the tires of the fully loaded tar sand haulers, thus not only reducing fuel consumption significantly but also reducing heat and wear on the tires thus increasing their service life__all adding up to significant cost savings which in the current low oil price has become much more attractive to the tar sand companies.