Kind of ore Non-ferrous metals
Mineral rights situation: Open-pit mining
Reserves:: Mining area: Approximately 160 hectares
Average grade
Degree of exploration: 43-101 report, Mining plan and Economy study have been completed in 2010
Traffic conditions: time : Mar.19,2012
Transactions: Intention of the price:
Details
Reserves:::
Report of recoverable reserves in 2008
Recovery value is at more than $9.00/ton
Ore Copper Gold silver Cooper Gold Silver
(1000 (total) (total) (total)
ton) (g/t) (g/t) (g/t) (tons) (tons) ( tons)
Measured 74,800 0.17 0.45 2.31 127,160 33.66 172.8
Indicated 150,300 0.13 0.31 2.17 195,390 46.59 326.2
Measured
+indicated 225,100 0.14 0.36 2.22 322,550 80.25 498.9
Inferred 91,600 0.13 0.27 1.76 119,080 24.73 161.2
Boundary value of $9.00/ton above is Based on the following prices
Gold: $950/ounces;
Silver: $15/ ounces;
Cooper: $2.5/pound;
Mining plan:
The mine can be mined for 38 years, 500,000,000 tons/per year and the financial data of previous 8 years is as follows:
Sales revenue Mining costs dressing costs Total operating expenses Pre-tax profit
($ million ) ($ million ) ($ million ) ($ million ) ($ million )
(USD) (USD) (USD) (USD) ( USD)
1st year 123 20 29 53 70
2nd year 122 20 29 53 68
3rd year 113 21 29 54 59
4th year 105 19.5 29 54 50
5th year 101 19.5 29 53 47
6th year 109 20 29 53 55
7th year 111 20 29 53 57
8th year 117 19 29 53 58
Capital investment required: $258,000,000 US Dollars;
Mine Design Experience: 38 years;
Payback period: 38 year(Since the mine is completed and begun to produce)
Construction period: 2 years;
Total Cooper, Gold and silver produced in 38 years:
Cooper - 382,624,000 pound (=173,000吨) = $960,000,000 US Dollars
Gold - 1,757,000 ounces (=53.24tons) = $1,598,800,000 USDollars
silver - 6,898,000 ounces (=209tons) = $103,000,000 US Dollars
Mining costs/tons:
Direct mining costs $3.21
Management costs $0.98
Dressing cost $6.33
Total $10.52