We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

   Gold/Mining/EnergyChesbar Resources- CBI Montreal

Previous 10 Next 10 
To: stubbs who wrote (967)10/22/1999 10:40:00 AM
From: George Castilarin
   of 980
Inco Opens US$50 Million Pilot Plant at its Goro Nickel Project
TORONTO, Oct. 22 /CNW-PRN/ - Inco Limited today officially commissioned the new pilot plant for the Company's Goro nickel project on the South Pacific island of New Caledonia, a French Overseas Territory.

Speaking at the opening, Inco President Scott Hand said the Goro project has the potential to be one of the world's leading and lowest cost laterite nickel producers. The pilot plant program is expected to cost about $50 million (U.S.).

``One of the great strengths of our Company, which has been one of the world's leaders in nickel for almost a century, is the high quality of our mineral developments. Goro is an excellent property and is a key part of our strategy to develop new sources of low cost, profitable nickel to meet the growing needs of the global nickel market,' Mr. Hand said.

The Goro project is 85 per cent owned by Inco and 15 per cent by the Bureau de Recherches G\006ologiques et Mini\022res, an agency of the French government. The project hosts extensive nickel laterite deposits with resources in excess of 200 million dry tonnes, averaging 1.6 per cent nickel and 0.17 per cent cobalt. Inco has dileneated an initial mining zone of 47 million tonnes of proven and probable reserves.

The fully integrated pilot plant, which was constructed from modules built in Canada and assembled on site, has a 12-tonne-per-day ore processing capacity. This plant is expected to validate the proprietary pressure acid leach and solvent extraction processing technologies Inco has developed to treat the Goro ores. The results of the pilot plant program will also be evaluated as part of the decision to be made on the construction of a commercial facility. This plant, which currently employs about 70 people, also will be used to train and develop New Caledonian employees for future commercial operations.

Based upon the results of the pilot plant program, the Company expects to be in a position to make a decision on building a commercial plant as early as the second half of 2000. Initial production could begin within three years after construction commenced. When fully developed, the commercial plant could have a production capacity of up to approximately 54,000 tonnes of nickel and 5,400 tonnes of cobalt annually and could be designed and constructed in one or two stages.

This news release contains forward-looking statements regarding the Goro project and Inco. Actual results may differ materially from these statements and projections depending on such key factors as the timing of the completion of the Goro pilot plant operation, engineering and construction timetables, construction and operating costs and rates, exploration and pilot plant results, nickel and cobalt prices and production rates, financing arrangements and the timing of the receipt of required governmental regulatory approvals.

Pictures of the Goro Pilot Plant and location map are available through Canada NewsWire E-Pix at

October 22, 1999

Q1. How long has Inco been involved with Goro?

A1. Our involvement with Goro goes back to 1969 when we decided to
develop the newly-discovered (by Inco) deposit on the island of New
Caledonia. In 1992, we acquired the rights to the deposit.

Q2. How important is Goro to Inco's strategy to become the low cost,
most profitable producer of nickel?

A2. Goro is a very attractive nickel project for many reasons. It has an
excellent and large ore body with grades of nickel of 1.6 per cent
which is approximately 40 per cent higher than the Australian
laterite ore bodies which are currently being brought into
production. It can be mined by low-cost open pit methods, utilizing
innovative and proprietary Inco process technologies, which we
believe, will offer low operating costs. Inco has a strategic plan
to grow and meet the demands of expanding global market for nickel
with low-cost, profitable nickel. Goro offers excellent potential
and flexibility to meet that objective.

Q3. Can Inco proceed with the development of both Goro and Voisey's Bay?

A3. World demand for nickel is growing at the rate of about four per
cent a year. We want to grow with that market by supplying low cost,
profitable nickel. Good nickel projects such as Goro and Voisey's
Bay will always get developed. Both fit prominently into our growth

Q4. How many people have been hired for Goro? And how many are local?

A4. Our Goro operation now employs 70 people, most of whom are from New
Caledonia. The rest are Inco engineering and technical support

Q5. How long will Inco need to run a pilot plant to get the results
needed to make a decision on construction of a commercial plant?

A5. Based on past experience, a pilot plant campaign could take some 12
months. In the case of Goro, we have already carried out some
successful, but smaller scale, pilot plant and mini-pilot plant
tests in Canada so we are not starting from a zero base.

Q6. Why is Inco going through a piloting stage rather than proceeding
immediately to commercial production like other new lateritic

A6. Inco has had extensive experience with the commissioning of new
``greenfield' facilities employing new technologies. In the Goro
nickel process, there are large measures of very innovative
technologies, some of which have never been practised on a
commercial scale. For that reason and because we want to train a
group of employees in these new technologies, we consider it not
only prudent but essential to begin with a fully integrated pilot
plant before seeking to undertake the operation of a commercial
facility. The pilot plant will also provide residue for the design
of tailings containment. Certainly, the recent experience of other
new laterite producers in Australia would suggest that a more
conservative and prudent approach is justified.

Q7. When will Inco make a decision on a commercial operation at Goro?

A7. With the pilot plant in operation, we will have an opportunity to
demonstrate our proprietary processing technology, train our
employees and fine-tune the economics of the project. We expect to
be in a position to make a decision on a commercial operation as
early as the second half of 2000. If we start construction in 2001,
the commercial plant could be finished as early as the end of 2003.

Q8. How much would a commercial operation cost?

A8. The total capital cost for the entire project would be about $1.4
billion(US). We would likely develop a commercial operation in
phases with phase one being about 30,000 tonnes, 27,000 tonnes of
nickel and 2,700 tonnes of cobalt a year. The plant would be
designed in such a manner that its capacity could be readily

Q9. What are the significant differences between Inco's process to treat
Goro ores and the process for Australian laterite ores?

A9. Inco's proprietary technology processes the Goro ore at a higher
temperature than the Australian projects. As a result, leaching is
much faster and the number of autoclaves needed is reduced. Inco
also utilizes a proprietary solvent extraction process for recovery
of the nickel and cobalt. The Goro process produces nickel oxide by
pyro-hydrolysis that can be fed to refineries in Japan, South Korea
or Taiwan. Other lateritic producers produce a finished product such
as electro-nickel or hydrogen-reduced nickel.

Q10. A recent news story suggested corrosion was the problem with
pressure acid leaching in other lateritic operations. What makes
Inco's technology less susceptible to corrosion problems?

A10. With Inco's innovative and proprietary processing technologies, we
do not have to use saline water.

Q11. Has Inco found a partner to develop Goro? Why would Inco need a

A11. While we have had considerable interest from potential partners, we
have decided to direct our attention, in the near term, to proving
our proprietary processing technologies. It still remains our
intention to seek a partner in this project and we remain receptive
to attractive partnership opportunities.

A partner can be important for a number of reasons -- reducing
Inco's financial risk by helping finance the project, bringing
special technological and other expertise to the project, or
marketing some of the production. That's the kind of partnership we
have with our PT Inco Indonesia operation.


- New Caledonia is one of the largest Pacific Island countries,
consisting of a main island known as the Grande Terre or Mainland,
surrounded by smaller islands, the most prominent being the
Loyalty Islands. It lies just north of the Tropic of Capricorn with
Australia 1500 kilometres to the west and New Zealand about 2,000
kilometres to the south. The Mainland itself is 400 kilometres long.

- Discovered in 1774 by Captain James Cook, New Caledonia is now a
French territory composed of three provinces, the Northern Province,
the Southern Province and the Loyalty Islands Province.

- The population of New Caledonia is nearing 200,000, half of whom are
under 25. It is considered a multicultural population with interests
ranging from Pacific Islands customs to French traditions.

- New Caledonia ranks among the 20 richest countries in the world. The
services sector is New Caledonia's chief source of wealth.

- Nickel ore extraction and smelting remain the main industrial
activities by far and will be the cornerstone for future development.
Nickel is the main export commodity, well ahead of seafoods and fruit.
It's not surprising since New Caledonia comprises nearly a quarter of
the world's known nickel reserves. Part of New Caledonia's ore is
processed by the Soci\006t\006 Le Nickel (SLN), a French company.

- The Port of Noumea, initially developed to meet the needs of the
mining industry, remains today the hub of the New Caledonian economy.

Tourism is a major growth industry. It's easy to see why. New Caledonia possesses the world's largest lagoon, has outstanding landscapes on the Mainland and on the outer islands, and has a moderate climate where monthly temperatures seldom exceed 27 degrees C.


1999 Inco Limited officially commissions the US$50 million pilot
plant for the Goro Nickel Project.

1997 Inco and its partner, Bureau de Recherches G\006olgogiues et
Mini\022res, an agency of the French government, announced it
will proceed with the next stage of the Goro Nickel
Project, the construction of an integrated pilot plant at

1995 Inco completed an environmental baseline study.

1994 Inco constructed a mini-pilot plant in Canada and completed
eight test campaigns of Goro ore samples.

1993 Inco completed evaluation of various possible processes and
recommendations and selected sulfuric acid leaching under
pressure and solvent extraction as the preferred process
for the project.

1992 Inco and BRGM formed Goro Nickel with Inco holding 85 per
cent and BRGM 15 per cent.
Inco allocated US$30 million to select and develop a
metallurgical process to convert Goro ore to marketable
nickel and cobalt products.

1969 Inco entered into an agreement with a French company set up
to develop the New Caledonia deposits at Goro, which were
discovered by Inco.

1926 International Nickel sold its mining properties in New

1905 Canadian nickel production surpassed that of New Caledonia
for the first time.

1902 International Nickel Company was formed, merging the
Interests of the Canadian Copper Company, Orford Copper
Company and Soci\006t\006 Mini\022re Caledonienne, among others.

1900 Soci\006t\006 Mini\022re Caledonienne was incorporated at Noumea in
New Caledonia. It held large holdings of mineral land in
New Caledonia, jointly and independently with Nickel
Corporation Limited.

1864 Nickel was discovered in New Caledonia.

Share RecommendKeepReplyMark as Last Read

To: Mongo Slade who wrote ()12/5/1999 2:52:00 PM
From: stubbs
   of 980
Hi All:
I'm sure most have read this on stockhouse but I forgot to post it here.
The meeting with CBI went excellent from a technical and share potential point of view. Terry and Steve
were well prepared with articles on other firms, samples of laterite nickel sheets and many pictures from the plants that Terry visited while in Australia. As previously posted, the gold play is on hold until the gold market returns. The nickel play has become the number one project. Venezuela still has great potential, but with gold prices all over the map there seems to be no interest in juniors. As per my earlier comments, please understand that the gold play is definitely not moth balled but just on hold until the market becomes more favorable. I truly believe that it is the best business decision for both the company and shareholders.
It is believed that we will require approximately 12 holes in the main zone in order to prove up the nickel content (for the satisfaction of the SEC) that the previous 2 majors had determined. Eight crews are currently bagging and tagging the samples which should be enroute for assaying in Canada very soon. Many other holes are also being currently worked on through out the property, but there is a priority on the previously mentioned 12 that will enable us to prove up the main zone as quickly as possible. There should be some news out before Christmas on related matters such as possible land acquisitions and updates.
Management is fast tracking the results to be released as soon as possible, however it is unlikely that the results will be ready for release until early first quarter which is when the stock should get going.
I previously reported the potential of the property as the Cominco and Transmetales work indicated at least 34 mil tonnes at 1.81% nickel, which is only 5% of property tested and doesn?t include other potential property?s. This equates to over 1 billion lbs. of nickel @ today?s price of $3.65/lb. US at 70% (CBI?s portion) calculates to a 3.8 bill asset. What would someone pay per pound if proven? It?s the big question!
I have inquired into a couple of other companies that are in the same situation as CBI with regards to which stock exchange they will end up on and was happy to hear that the TSE was an option for the others. These companies can qualify for the TSE if they meet continued listing requirements. CBI management was of course unable to comment on this issue. It is my understanding that the TSE will make their decisions by Dec. 6, 1999.
Another meaningful point that I have learned, was that Inco have also shown interest in laterite deposits by announcing that they are proceeding with a $50 mil project in New Caledonia. Inco also holds a property about 30 km. from the CBI in Guatemala (their property projects 75 mill short tones at 1.83% nickel). If you combine our property with theirs it would certainly make it a world class play as it could easily and economically share facilities.
Terry and Steve explained to us the chain of events that took place to which the Guatemala property became available to CBI. In a nutshell, it was through the relationships they had with a Guatemala mining company which were verified by unrelated parties that were involved with the play well before recent technologies became available. They were even able to retest a few pits with results very close to the results that were reported years ago. The combination of excellent networking, long-term relationships and keeping up with leading edge technologies (HPAL or high pressure acid leaching) brought this one in while beating others to the punch.
Combining the facts that the nickel market is strong with the success that other nickel firms are having, while considering our promising nickel numbers, our stock should return to previous value. However, as excited as I am, this may not happen overnight. It is my belief that if you hang in, rewards will follow in Jan-Feb. The only way to share my enthusiasm would be to go to the office and see for your self.
The comments that I heard from the other shareholders that attended the meeting with me was that they were very impressed with Terry as a committed and trustworthy leader. We felt that Terry has an excellent grasp of how to move this thing forward and that he showed that he was acting in the best interests of the shareholders. (Keep in mind that it certainly is nobody?s fault that the gold market is weak) He has done a great job in recognizing and acquiring an excellent play while we wait for gold to improve.
Another point that I wish to point out while I conclude, is that the same management team has recently brought Corner Bay into a valuable position. They plan on using some of the same processes with CBI when our results come in. This combined with the fact that some of Corner Bay?s recent institutional following can only help.

One of the next possible news releases could outline which company will be chosen to do the metallurgical testing. The test results are crucial to our success. The steps that follow are that after the assays are done, the samples will be sent to a metallurgical lab that will be equipped to use the new process (HPAL) to determine the extraction rate.
I hope this update is as helpful to you as the meeting was for myself and the share holders which accompanied me. Please feel free to ask any questions that I may have missed that may be of importance to you.


Share RecommendKeepReplyMark as Last Read

To: Mongo Slade who wrote ()12/5/1999 2:57:00 PM
From: stubbs
   of 980
Forgot to mention it appears that we are Toronto exchange bound starting the 6th of Dec 1999.This is excellent news for the near term but again the news we really need to make the help the new listing will be in early first quarter.

Share RecommendKeepReplyMark as Last ReadRead Replies (4)

To: stubbs who wrote (970)12/8/1999 1:49:00 AM
From: Mephistopheles
   of 980
Hi! Thanks for the info/update here on SI.

Are you saying that CBI is now(or soon) trading on the TSE? Still has CBI?

Share RecommendKeepReplyMark as Last ReadRead Replies (1)

To: Mephistopheles who wrote (971)12/8/1999 8:48:00 AM
From: Enigma
   of 980
It is!

Share RecommendKeepReplyMark as Last Read

To: stubbs who wrote (970)12/30/1999 8:01:00 AM
From: Mephistopheles
   of 980
Where is Chesbar going? Does not look too good.

Share RecommendKeepReplyMark as Last Read

To: Mongo Slade who wrote ()2/28/2000 12:24:00 PM
From: Mephistopheles
   of 980
Tuesday, February 22, 2000, 5:03 PM EST

Toronto, Ontario
The Company has undertaken a program of preliminary test pitting
across a favourable horizon of lateritic nickel mineralization at
its Buena Vista Project located in Guatemala. A 3090 hectare
property called "Sechol" is the first property licensed to the
Company's joint venture Guatemalan subsidiary. Chesbar is funding
the current US$300,000 exploration program whereby it is earning
an additional interest in the project. At completion, Chesbar
will vest 70% and its partner, Intrepid Minerals Corp. (CDNX-IAU)
("Intrepid") will own 30%. The Company has applied for four
additional licenses in the same area, which after being granted
will increase the Company's total land holding to approximately
22,000 hectares. The Company's geologists have identified
extensive areas of lateritic nickel mineralization, which will be
tested for economic potential in the ongoing exploration

Lateritic nickel mineralization was identified in the area by
Inco subsidiary Exmibal in the early 1970's and steps were
undertaken to exploit this nickel at that time but this project
was shut down when the large escalation in fuel costs resulting
from the OPEC oil crisis made the process then being used
uneconomic. In the mid 70's and then again in the mid 90's work
by Transmetales and by Cominco Ltd. respectively at the Buena
Vista Project completed programs of test pits to assess an area
of lateritic nickel mineralization measuring 1900 meters by 800
meters. These pits have been backfilled but some of the resulting
data have been made available to the Company's geologists. This
property reverted to the Guatemalan government and was acquired
from the government by the Chesbar - Intrepid joint venture in
1999 as part of the "Sechol" exploration licence.

The Company's interest in the Buena Vista project is based on the
rapidly developing new technology for the treatment of lateritic
nickel ores using Pressure Acid Leaching (PAL) followed by
Solvent Extraction and Electrowinning (SX/EW). This technology is
now recognized as a revolutionary development in the nickel
industry and is already being employed in several new operations,
notably in Western Australia.

Work by Chesbar to date has included the digging and sampling of
tests pits within the previously identified zone, to confirm the
results of earlier work and to provide samples for metallurgical
test work to determine the applicability of the new PAL-SX/EW
process to this material. Numerous test pits are also being dug
on other parts of the Sechol property where nickel bearing
lateritic material has been identified by Company geologists.
Test pitting is an effective method of assessing deposits of this
type because, by the very nature and means of formation of
laterites, they lie near surface and are relatively easy to dig.

Results of the Company's current tests pits dug at intervals
along a 1500-metre length within the previously identified zone
of nickel mineralization are presented in Table 1. Pits are hand
dug from surface, encountering variable depths until finishing at
bedrock. Sampling is conducted in one meter vertical channel
samples of the pit walls during excavation. Samples are
geologically described, weigh typically 2.5 kg, are tagged and
then sent for sample preparation at Guatemala City with final
assaying completed at XRAL Laboratories in Toronto, Ontario. It
can be concluded that the broad spaced verification pits over the
known nickel zone reveal significant nickel values. The average
nickel content from the 4 pits just completed is 1.72% Ni. (See
Table 1)

Table 1

Pit No. SC-51 SC-52 SC-53 SC-54
Average % nickel 1.83 1.62 2.22 1.37
Depth of pit (meters) 10 12 7 10

The Company has begun a metallurgical study of the mineralogy and
geochemistry of the nickel mineralization through a series of
tests being conducted by Dynatec Corporation's Metallurgical
Technologies Division. In conjunction with gaining a necessary
understanding of the applicability of new technology at the
property, Chesbar is accelerating its "Buena Vista" program of
test pitting over the known nickel zones. At the earliest
opportunity, the Company hopes to establish a nickel resource
base calculated at the Main Zone. The additional test pitting
programs conducted over other lateritic targets at the Company's
properties are expected to provide significant increments to this
resource. Metallurgical test work is expected to be an ongoing
activity, as Chesbar will be seeking the most efficient
technology for the economic extraction of the nickel contained at
the Company's properties in Guatemala

Share RecommendKeepReplyMark as Last ReadRead Replies (1)

To: Mephistopheles who wrote (974)2/28/2000 12:26:00 PM
From: Mephistopheles
   of 980
High of 0.32 today...

For all... CBI is now traded on the TSE, not Montreal Exchange.

Share RecommendKeepReplyMark as Last Read

To: stubbs who wrote (970)3/9/2000 1:22:00 PM
From: Mephistopheles
   of 980
stubbs... went mute. Do you know too much now?

Share RecommendKeepReplyMark as Last Read

To: Enigma who wrote (938)3/11/2000 3:55:00 PM
From: Mephistopheles
   of 980
"It's been a long time since I have posted here,but now seems the right time to start again.Chesbars gold property may be on hold, but their nickel property is not.I have never lost touch with this co. and have always had confidence that they will reward those who who have great patience.My sources tell me that chesbar infact dose have a very large nickel resource confirmed already, and it is increasing in size every day. In about three to four weeks, we should have a significant press release that will take the stock to levels never reached before. This deposit may even be on scale of voisy bay? So I don't think anyone should sell this co. short yet. Good times are just around the corner.
Hey NICE GUY, WHRER HAVE YOU GONE TO?? Hope to here from some of you guy's and revive this thread.

Share RecommendKeepReplyMark as Last Read
Previous 10 Next 10