Ann: BCI Achieves 5MT Export Milestone , page-27

Cheers antony for replying, sounds great.

Received a reply today from BC Iron.

A *BIG* kudos to Robert Williams, technical services manager at BC Iron.

Chelkn wrote to BC Iron on Sunday 25th November this:

Hi guys. Exciting times. I'll keep this email VERY breif because I know how busy you all are. I'll totally understand if you don't have the time to answer this email.

A couple of questions, I hope they aren't deemed price sensitive to the BBSO work. Also, I hope I have permission to print your reply on the Hot Copper stock market forum.

~Going by mines with a simular BBSO dry screening scenario to Nullagine's. Do Rob or Andy have a rough idea how much dry screening costs per tonne?

~ In the case of dry screening, is it as simple as the material exits the second crush at the crushing plant via some sort of chute onto the dry screening table/cylinder. And then that material exits the dry screening 'plant' as DSO?

Bye guys and good luck. From your number one supporter #####.

Robert Williams replied today:

Hi #####, thanks for your enquiry into Project Inventory, which is a study of the possible upgrade of material at the Nullagine Iron Ore Joint Venture. Metallurgical bench scale test work is currently underway and BC Iron will use the results of this test work to guide a pilot scale test of the material. The study will address whether a simple dry screen beneficiation is the optimum process, or whether a wet backend should be used with jigs/DMS and spirals.

The study is expected to be completed by the end of the third quarter FY 2012/13.

Once again, thank you for your enquiry.

Kind regards Rob

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Hmmm, guys I thought it was all settled and it was as simple as using a dry screen. I would have thought that a wet plant would've been more expensive and not necessary. My hunch is that dry screening is good for marginal material. That is to say, material down to a Fe grade of 55% can be upgraded to 57% Fe -- which is what is currently being exported as Bonnie fines.

However with a wet plant it gives BCI more scope. Material down to 53% Fe or even lower could be converted into DSO. At the end of the day, I guess if the buyers are there and the margins are there why not. Crickey!, what would the total resource be if BCI could export down to say 50% Fe? Nullagine could be going for 20/30 years.

Sounds as though Rob is doing a thorough professional job to extract every possible exportable tonne from Nullagine. I'm feeling rather excited about Rob's upcoming report. Can't wait infact. And thanks again to Rob for replying.