Ann: Cudeco regains 100% control of Multi User Ra, page-37

re: Ann: Cudeco regains 100% control of Multi... Garndo

"Perhaps a leap too far?" Yes you are correct so we have the iron also but the end result is the same, thanks Garndo

Jantimot

"Make sulphuric acid in Cloncurry?" No I dont think I said that but rather transport the concentrate to Mt Isa acid plant and install a roaster there, Incitec Pivot also had plans to build acid plant at Phosphate hill.

"Hint: you need special receptacles and collision proof vehicles to transport it. It's not the same as piling it into a steel container. It melts its way out of those before you're 30km out of town." You're shitting me, do you mean like the GATX wagons IPL own that they use to transport acid from the Townsville and Mt Isa. 98% sulphur acid really isn't corrosive and can be stored in carbon steel tanks to 77% until it does start to corrode, please don't stick your finger in 98% acid because the water in your body will start the reaction.

"And if you think that you don't need to make sulphuric acid if you don't want to: WRONG! What else do you do with the SO2 from the roasting? Can't vent that to the atmosphere." How do you think the Mt Isa smelter disposed of it before the acid plant was built in 1999 and how they dispose of it when the acid plant is off line! And Gunpower mine would blow your socks off they conducted acid leaching underground.

Guys and Gals

The point I'm making is about transport costs, regardless of what price IPL get their Sulphur or Sulphuric acid for it needs to be transported from Townsville to Phosphate Hill in regards to sulphuric acid but all the way to Mt Isa plant for the sulphur (they can burn sulphur on site) That cost is about $50 per tonne from Townsville, the distance from Cloncurry to Mt Isa is much less so say transport cost would be $20 per tonne. If IPL installed a roaster on their site at their cost and we sold our concentrate to them for $5 a tonne they are $25 per tonne in front. The deal is we receive the roasted product containing the cobalt back and transport that back to Townsville less the sulphur content which reduce our transport costs. We want the cobalt at $30 000 per tonne and not be transporting a concentrate back to Townsville that may only be worth $70 per tonne at a cost of $50 per tonne. The dollars values are fictional and only used to make my point and here's a map of the train line to illustrate my point.