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Comparative Asbestos Mining and Processing Costs--Alaska Versus Yukon Territory.

Authors
Bottge-RG
Source
NTIS: PB 241 243 :33 pages
Link
NIOSHTIC No.
10008025
Abstract
Hard rock mining has grown in importance in the Yukon Territory during the last 10 years while Alaskan hard rock mining has declined. One asbestos deposit in Alaska is dormant, but an asbestos deposit 55 miles to the east in the Yukon Territory is being mined by the Clinton Mine Div., Cassiar Asbestos Corp., Ltd. In this Bureau of Mines report, the economics of mining in the two locations were derived using the Clinton Mine as a model. Both deposits were assumed to be of equal size and mined by similar methods. Conventional open pit mining and processing methods were assumed, and capital and operating costs were derived using flowsheets and standard costing methods. The estimated cost for the mine, mill, and support facilities in Alaska was about 30 percent more expensive than that in the yukon territory. The higher labor rates in Alaska were the primary contributor to the higher construction costs; freight rates added only slightly to the total costs. Approximately two-thirds of the additional annual costs of operating in Alaska were for wages and fringe benefits. The price required for the Alaskan asbestos fiber was $356.65 per ton compared with $287.44 for Yukon fiber, plus or minus 20 percent. A 12- percent discounted cash flow rate of return, 100 percent equity financing, and a rapid writeoff of assets were assumed.
Publication Date
19750101
Document Type
IH; Information Circular;
Fiscal Year
1975
NTIS Accession No.
PB-241243
NTIS Price
A04
Identifying No.
IC 8672
NIOSH Division
AFOC;
Source Name
NTIS: PB 241 243
State
AK;
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