+ + data and comments + +, page-5

re: + treatment of toomey hill's nickel ore + Arising from:
Announcement: 21 May 2004:
http://stocknessmonster.com/news-item?S=CGM&E=ASX&N=262067

Extract:
"Minara announced last year that it would only contemplate entering into an agreement to take ore from third parties where those resources are defined to Measured status, where the ore meets the particular feed characteristics of the Murrin Murrin plant and where there is a clear net economic benefit".

“We expect that the Toomey Hill Resource will meet all of these criteria, offering a significant economic
benefit to the Murrin Murrin operations,” Mr Swick said. “The high grade of the ore is complemented by
low levels of chloride and magnesium, which are detrimental to the extraction process.

Metallurgical testwork is yet to be conducted on the Toomey Hill ore, but the fact that Murrin operations have mined close to our western boundary is a positive indication for us. It appears also that our resource is open to the north across a 800 metre front, extending into Minara’s ground.”

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Comment: Minara's Murrin Murrin Plant needs ore with low contaminants as CGM's Toomey Hill's nickel deposit has. If it didn't get that type of ore then some vital part of the Plant will be corroded by the higher levels of chloride in other ore it uses.


A friend of mine paid a visit to the area and Toomey Hill's nickel deposit. And yes, Minara has an open pit (nickel) about 50 m from the Toomey Hill's deposit.

He reckons that Minara can't get any closer to that boundary without permission of CGM. He thinks that the high grade of the nickel resource in that 50 m wide area is worth having.

In his opinion, CGM, if they so wish, could agree to that as part of an overall package to having the CGM's Toombey Hill's Nickel ore taken by by Minara's Murrin Murrin Plant.

The Nickel shortage has already been discussed on a number of occasions. And it is getting worse, apparently.

As soon as I have updated data on the shortage of Nickel, I'll post it here.

Gerry