Rare Element Resources
Bear Lodge Project
Canadian NI 43-101 Technical Report
October 9
th
, 2014
100135-200-46 – Rev. 0
21-8
Indirect Cost
$ 36,698
$ 52,559
Engineering Fee (Feasibility and Detailed Engineering Phases)
$ 8,447
$ 10,982
Procurement and Construction Management
$ 11,175
$ 15,950
Temporary Site Facilities
$ 500
$ 500
Commissioning and Start-Up
$ 2,402
$ 2,723
Spare Parts
$ 4,003
$ 4,539
First Fills
$ 400
$ 400
Capital Replacement Spares (major)
$ 2,046
Capital Spares for Major Equipment
$ 1,601
$ 2,634
Access Roads Environmental Impact & Permitting
$ 100
$ 100
Contractor Profit/Overhead/Mobilization/Demobilization
$ 8,068
$ 12,685
Sub-Total Direct and Indirect Costs
$ 243,046
$ 392,051
Contingency
$ 47,127
$ 67,906
Total Direct and Indirect Costs with Contingency
$ 290,404
$ 453,354
(Roche, 2014)
Net working capital of $24.6 million is required for receivables, product inventory,
materials and supplies inventory and payables.. This working capital recovered at the end
of the project does not impact the total capital cost and is therefore not shown in this
summary.
21.1.4 Cost Breakdown by Area/WBS
Table 21.2 Summary of yearly estimated capital expenditures, contains an annual
breakdown of capital expenditures by item for mining for the first two years of mining, the
sustaining capital and the total capital cost.
