Noranda Income Fund Unit T.NIF.UN

RE:RE:RE:RE:Zinc Premium about 40 cents per pound

[petersburggray]

I agree that the hydroelectric power angle is key for CEZinc. An article I recently read had a bar chart showing power consumption per ton of various base metal refined. Al was most power hungry with Zn close second. Refining either Zn or Al used many times the power needed for refining either Cu or Fe. I am thinking Zn treatment charges are going to go up very drastically which will really squeeze zinc miners that have to monetize zinc con to pay bills...only zinc smelters are shutting down, not zinc mines, so there will be too much zinc concentrate on market from the mines and not enough zinc smelting capacity to refine it all so zinc smelter have all the pricing power and can pick and choose cleanest zinc con, for example, and some zinc mines won't be able to get their con processed at all and monetized so many zinc mines will go bankrupt going forward. CEZinc likely in position to decide which zinc mines survive and which ones go insolvent. I guess this angle going to give Glencore inside track in picking up mining assets for pennies on the dollar.