MEMORANDUM
TO:
3848.141
file
FROM:
Craig
Simons,
DPRA
DATE:
September
16,
1999
(9/
29
followup)

SUBJ:
Record
of
communication
with
Bob
Sippel,
Noranda.
(416­
982­
7472)

I
called
regarding
some
of
our
assumptions
in
the
F006
analysis
and
left
a
message.
Bob
returned
my
call
and
was
very
willing
to
talk.

I
asked
about
the
reality
of
our
assumption
regarding
the
minimum
charge
per
load
of
$1350
(noting
the
basis
for
the
cost).
He
indicated
it
was
quite
logical
and
it
is
apparently
what
they
do
at
Noranda.
He
said
he
would
do
some
checking
and
will
get
back
to
me
with
their
terms
for
minimum
load
sizes
and
charges.
He
did
indicate
that
the
$1350
per
load
minimum
charge
seemed
a
bit
low.

I
also
asked
about
the
charges
for
recycling.
He
thought
our
assumption
of
$200
to
$400
per
ton
was
about
right,
but
we
needed
to
take
into
account
the
payments
to
the
generator/
processor
for
the
metal
value.
He
was
also
going
to
get
me
some
data
on
this.

9/
29/
99–
finally
got
in
touch
with
Bob
again
after
playing
phone
tag
etc.
He
said
describing
what
would
be
the
general
terms
for
recycling
F006
would
be
like
describing
the
price
of
a
car
was–"
it
all
depends..."

In
general,
for
run
of
the
mill
F006,
they
have
a
charge
of
$200
per
ton,
or
a
minimum
charge
of
$2000
per
lot.
He
noted
a
typical
full
load
would
be
20
tons
(I
assume
metric,
but
did
not
get
a
clarification).
All
charges
are
on
a
delivered
basis,
and
based
on
wet
tons.

For
F006
with
recoverable
amounts
of
precious
metals
charges
would
be
considerably
higher,
due
to
special
handling.

He
noted
that
for
the
typical
F006
they
get,
metal
values
might
range
from
$500
to
$700
per
ton,
which
would
be
paid
(on
some
basis)
to
the
generator.
(He
implied
that
the
terms
would
not
specify
paying
the
full
value
of
the
metal
to
the
generator.
I
assume
based
on
talks
with
others
they
would
pay
based
on
an
assay
value
which
might
represent
90%
of
the
total
value
of
the
metal.)
