Post by
Kidlapik on Jul 10, 2015 1:55pm
Winter program budget savings?
I was skimming the latest technical report and it contains estimated budgets. Of note it states a budget of $9,995,000 for large diameter drilling of CH-6, CH-7 and CH-44.
For the summer program it states a budget of $1,600,000 for core drilling of CH-6, CH-7 and CH-44.
Now I am very curious to now how much of the large diameter drill cost is up front ownership costs, buying the drill shipping it etc, and how much is actual turning the drill costs. As well as what the labour cost difference is to drill a large diameter hole as opposed to the planned summer core holes. They had planned numberous other large diameter holes for CH-6 and CH-44 and budgetted for that as the season was short those labour dollars were not spent and will then be spent on the summer program.
If the labour cost difference is significant we could have a much larger summer program or potentially a 2015 program surplus though I would assume they would just spend whatever was not spent on the winte rprogram on the summer program.
Comment by
ekim on Jul 10, 2015 2:21pm
They haven't bought the LDD drill. It is still on lease and they will make a decision each year to either keep it up on site or send it back. I'm suspecting it is staying onsite for now....but not sure if they've decided the next use of it. LONG...PGD EKIM
Comment by
10moving100 on Jul 10, 2015 3:14pm
Im guessing that the fact these holes were not drilled due to a lack of snowfall had other costly implications, increased repositioning costs, and increased labour to build snow cover... I would think they spent the money, and like most budgets, spent a little extra (flying sampe south). JMHO
Comment by
Kidlapik on Jul 11, 2015 10:37am
Just depends what the major expense is for the LDD process. As the summer drill program is just way cheaper. That is either because of the leasing charge for the drill or their is substantially more labour related costs for each LDD hole. Either way I sent in an inquiry to the company to see. Yeah they could have spent any surplus on flying samples out.