RE: Trinidad Times Article
I think this is the best news that has come from the management of Cline Mining to date. Part of the Trinidad Times article.
On BNN this morning there was a person that thinks that the iron ore price for 2012 was around (do not quote me on these figures) $ 23.0 a ton 2013 $ 180.00 a ton 2014 160.00 a ton.
Met coal 2012 $ 200.00 a ton 2013 $ 190.00a ton $ 2014 180.00 a ton.
I hope there are wrong with their prices.
I am invested in CMK at over $ 4.00 a share and want this to go much higher
David Stone, recently appointed New Elk Coal chief operating officer, completed a mine review process for operations, which says, “The primary focus has been on the development of the Central Zone of the mining lease, which provides optimum utilization of the already present infrastructure coupled with the highest short-term production output. The technical mine review plan now demonstrates the optimal resource and recovery, coupled with the overall focus on the Net Present Value of the asset. The Northern and Southern areas of the lease provide an exceptional upside case and will be developed once the action plan for the Central Zone is complete. These areas, in supplement to the Central Zone, facilitate the ability to perform low capital brownfields expansion.”
The company is continuing to build appropriate operating schedules for the life of the mine, and new financial and cost analysis for the project. The company expects to formalize this review and production plan at the time when it resumes production, according to the release.
Stone commented: “The results of the review have clearly demonstrated that the resource can be transformed into a world class mining complex. The entire plan has been built from first principles, taking into account geology, equipment and infrastructure. A detailed implementation action plan, inclusive of all required factors including safety, human resources, financials, logistics, engineering and maintenance is well underway for the entire operation, and we are confident that upon the securing of an off-take agreement the projected plan will be achieved.”
In mining terminology, an off-take agreement is one between the producer and buyer of a resource to purchase or sell portions of the producer’s future production. An off-take agreement is normally negotiated prior to the construction of a facility such as a mine in order to secure a market for the future production of the facility.
Cline Mining produces coal in Colorado, iron ore in Madagascar and gold in northern Ontario, Canada.
I think this last line is wrong Cline Mining has very little interest in Strike Minerals in northern Ontario and they are not producing ore in Madagascar.
Tinyhopes good luck to all longs