BIG 0.00% $2.22 big un limited

analyses of direct cost of mining in bolivia

  1. 115 Posts.
    The major mining costs say in Aus are usually plant, labour and site support equipment.

    The main direct mining cost for RAU in Bolivia will be plant and support equipment. From the presentation labour is about USD6000 per employee per year - sigficantly (in fact 30 to 50 times) lower than mine employees in Aus or this part of the world.

    The program shows RAU producing after 12 months of development and one can assume a low strip ratio mine. The lower the strip ratio, the lower the mining cost. Therefore RAU will achieve significantly lower costs of mining due to:

    1. Engage a low cost local or South American reputable mining contractor for mining works at known rates
    2. Cheap operating labour
    3. Source locally made support equipment
    4. Low strip ratio
    5. Little or no debt and hence good +ve cashflow forecasts
    6. Good relations with the locals & govt


    I believe and see a huge pontential in RAU and try to topup on lows but I think I haven't got long to do this. Any top ups will probably be at a higher price.

    All investments have risks and even higher risks for exploration companies like RAU so dyor prior to investing.

 
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