processing facilities , page-6

Sorry for delayed response EE.

The process plant will have to be modified for the CPS process that Kwan is testing and would require modification for copper extraction.

Way out of my league double guessing how they will do this but my process friends inform me it can be done without difficulty. The extent to which modification will be required and associated costs would depend on the outcome of Kwans work.

A bit of history for you my friend...do some sums on the changed economics and you will see why I have now focussed on Pillara since the closure ;)

"In 2003 detailed evaluation of the economics of underground mining of both Sandiego and Onedin, with treatment through the then existing Pillara mill (allowing suitable capital expenditure for modifications to that mill) was completed. The model, which used then current prices (copper US$1,725/t, zinc US$850/t, exchange rate 0.66), had projected revenue of A$155 million. As the modelled capital and operating costs totalled about A$175
million, cash flow was negative and the project was sub-economic." source: http://www.anglo.com.au/archived-docs/AARQtrDec05.pdf

The only question now IMO is how much this next very big step will cost, not if it will or won't be Pillara.