Rare Element Resources
Bear Lodge Project
Canadian NI 43-101 Technical Report
October 9
th
, 2014
100135-200-46 – Rev. 0
21-5
Capital Replacement Primary Mining and TSF Equipment – 5% of direct and
indirect cost;
Mine and Hydromet Site Closure – 4% of direct and indirect cost;
Year -1 Mine Operating Costs – 5% of direct and indirect cost;
Contractor Pre-strip Costs – 5% of direct and indirect cost.
21.1.2.4 Assumptions
A) Physical Upgrade Facility
Knight Piesold provided the PUG closure cost ($8,669,000);
The parking lot is not paved and has a gravel surface;
Truck roads are drained with ditches and have gravel surfaces;
Rock is two feet deep from the existing ground;
The buildings’ foundations will be rock (strip footings and spread footings) and
structural concrete slab on ground;
Raft footings will support the tanks and major equipment;
The structural columns grid is 20 ft. x 20 ft. (6.1 m x 6.1 m) in office areas and 20
ft. x 100 ft. (6.1 m x 30.5 m) elsewhere;
Concrete is available locally.
B) Hydromet Facility
Knight Piesold provided the Upton site closure cost ($7,837,000) which includes 2
feet (0.61 meters) of radon cover over the tailings facility;.
The septic and water pipes of the Upton industrial park are located outside of the
roadway; no road repair has been included;
No upgrade of the Upton industrial park water network is required;
Excavation costs do not include the presence of rock in trenches;
Topsoil stripping is limited in depth to one foot;
The parking lot will be paved;
A system of underground pipes will be installed to ensure proper drainage of the
parking lot;
