article, page-23

wife has banned that shirt :) Although I am currently in Manila and I might buy some rapper type ones I have seen.

To all posters in all seriousness centrenow's post was spot on..if you ever have doubt as whether SARCO is moving forward then please seek out the representives of either NFC or CNFM..(either at the AGM or direct by email) Indonesia's deicision to ban exports of bauxite by 2014 has the powers to be in a quandary. They are running out of production materilas for aluminium. Please not the post on the top shareholders - the majority have increased their holdings (I have done so through 3 legal entities). So it is not a matter of if but when and at what price are prepared to buy (dilution) to develop the site with a proven huge JORC resource of which we own 49%.

Worth posting again:
http://www.resourcesroadhouse.com.au/_blog/Resources_Roadhouse/post/Chinese_develop_appetite_for_bauxite,_copper_and_zinc/

Thursday, September 27, 2012
OUT AND ABOUT: China’s appetite for iron ore may have waned recently, however the new items on the Dragon’s menu look like being bauxite, copper, and zinc.

BAUXITE

China has aims to be self-sufficient in aluminium and in order to achieve this has been building more and more smelting and refining capacity.

CRU’s latest consumption forecast, indicates China only has enough bauxite reserves to last seven years.

“Obviously it is not going to go down to zero [reserves] as more resources are turned into reserves,” Wright explained.

“There will be some more bauxite, but I think China is going to need to find bauxite elsewhere in the world.

“The Chinese government has enhanced its exploration programs domestically in recent years, but the country still needs to import large quantities of bauxite.”

China currently imports most of its bauxite form Indonesia, while the world market is essentially fed by the Atlantic and Pacific Basins, much like iron ore used to be.

However, the Indonesian government recently through a spanner amongst the pigeons by announcing its intention to ban bauxite exports from 2014.

This has already had an impact on things with exports from Indonesia restricted in May / June of this year having a knock-on effect that caused some alumina refineries in China to cut back on production.

The next obstacle for the Chinese to negotiate is obviously how quickly the country can source bauxite and from which other countries will it do so.

Possible resources are emerging from Asia; or they could tap the newest kid on the bauxite export block of Fiji.

The demand could also prompt projects in Australia to get up and running more quickly; to ramp up to production more quickly resulting in more export from Australia.

“CRU believes the countries that are most likely to support China’s bauxite needs are those in the Pacific Basin,” Wright said.

“For the time being Indonesia will continue being the main supplier, but Australia will be this swing supplier in the market, which means it is the price-setting producer.”