RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Bull shizen can not even make a persuasive arguementOLD POST, old numbers - still relevant NXE Arrow is not deep ....
Mat 12 2016
Here's a comparison..
INCO's Creighton mine currently mines at a depth of 2377metres. Copper grade is 1.62%, Nickel grade is 2.80%. Ignoring dilution and recovery and using today's spot prices (KITCO) the ore is worth $285.64 USD per ton. INCO also recovers PGM's those grades are not published but obviously add to the value of a ton of ore.
Using NXE's inferred grade of 2.63% and the spot price for U published at KITCO of $27.60 USD per lb NXE's ore is worth $1,451.76 per ton. Using the inferred grade of $13.65% and the same parameters the value per ton is $7,534.80 per ton. Again dilution and recovery ignored.
Now it is our understanding that the mining methods that can be employed at Arrow will be quite comparable in cost to those that are in use in Creighton in that the methods used will be conventional blast hole mining methods.
Creighton by the way has many multiple shafts that have been sunk over more than 100 years of operation, I recall that the current shaft is designated 9. The mine is so deep that the ventilation underground must be cooled by an air conditioning system (added cost that NXE won"t have) as rock temperatures are in excess of 90 degrees F (due to radioactive decay). As well ground support is very expensive at Creighton as the rock is burst prone at those depths. INCO is working on plans to go to 3,000 metres.
NXE's 920 metres is NOT DEEP and is A FUTURE CASH GENERATING COW. If INCO can make money at $280/ton, NXE at $1450/ton at less than half the depth is a miners dream come true.