Resource World Magazine

j u n e / j u l y 2 0 1 5 www.resourceworld.com 33 FAR LEFT: An LTA Aerostructures heavy lift cargo airship. Illustration courtesy LTA Aerostructures. LEFT: The Solar Ship Caracal in flight. Photo courtesy Solar Ship Inc. taics. "The design also scales well, with lift capacity growing with the cube and solar capacity growing with the square as wingspan increases," he said. Godsall says the Solar Ship features advanced aerodynamics, synthetic textile laminates, smart electronics, lightweight batteries and high- efficiency photovoltaics. "The lift of the aircraft expands by 8 times each time you double the wingspan," he said. "For example, a 10-metre wingspan ship can lift 100 kg with 20 kW of [solar] power. Double the wingspan to 20 metres and we get 800 kg of lift and 80 kW of [solar] power. Double that wingspan to 40 metres and we get 6,400 kg of lift and 320 kW of [solar] power." "Our market is northern Ontario and Québec and Burundi, Rwanda, Uganda, DRC and Tanzania in Africa," Godsall said. "Canada is king of the bush plane, and our expertise is respected all over Africa." The company is operating with two differ- ent marketing models. "We plan to manufacture aircraft and sell them to experienced operators," Godsall said. "We also plan to co-operate the air- craft with other partners who can benefit from our operational expertise." n "Our hybrId CargO aIr- Craft OCCupIeS an unfIlled CapabIlIty gap In tranSpOrt SOlutIOnS fOr hard-tO-get- tO plaCeS, faSter than a truCk and mOre flexIble than an aIrCraft…" – Jay godsall sHerritt iNterNatioNal performance improving Despite declining commodity prices over the past year, laterite nickel miner Sherritt International Corp. [S-TSX] has shown improvements in several areas. In its Q1 2015 financial report the company noted that finished nickel production from its metals division reached its highest level ever at 9,013 tonnes. Combined revenues from operations totaled $278.3 million for Q1 compared to $250.7 million for Q1 2014. Net loss from continuing oper- ations ended March 31 was $0.19 per share compared to $0.24 per share in Q1 2014; however, net direct cash costs decreased to US $4.36/lb at the Moa Mine, a 50/50 joint venture in Cuba, and US $5.74/lb at the 40%-owned Ambatovy Mine in Madagascar. On March 23, 2015, Sherritt announced that Ambatovy achieved a production rate equivalent to 54,000 tonnes of nickel (annualized), about 90% of name plate capacity, measured over 90 days in a 100-day continuous period. "Our first quarter results are a good start to the year," said David Pathe, President and CEO. "Ambatovy's ramp-up has progressed steadily, allowing us to meet our 90-for-90 production milestone ahead of schedule." Combined adjusted operating cash flow increased 58% to $56 mil- lion or $0.19 per share. In addition, combined administration expenses declined by 24% to $17.7 million compared to a year earlier. The two mines also produced a total of 770 tonnes of finished cobalt metal. Cuba reduced its tax rate that generated a tax recovery of about $30 million in Q1 2015 and will also lead to lower taxes in the future for all three Cuba segments. In addition to the Moa Mine and processing/refin- ing facilities, the company has oil and gas interests in Cuba. Sherritt also has an indirect 1/3 interest in Energas S.A., a Cuban joint venture company that generates electricity for the Cuban electrical grid. The company also operates a refinery in Fort Saskatchewan, Alberta. Construction recently began for a 2,000 tpd acid plant at the Moa Mine which will result in a cost savings by eliminating the need to import sulphuric acid and from reduced fuel consumption for steam production. Oil revenues decreased due to lower oil prices. Cash from oil opera- tions totaled $6.6 million, down 59%. Two new wells were drilled in the last quarter with one in production and one being tested. Production guidance for oil and gas has been lowered to 19,000 b/d from 20,000 bpd. Nine wells are planned to be drilled this year. For April 2015, finished nickel production (40% ownership basis) was 1,244 tonnes (3,110 tonnes, 100% basis), or about 63% of name- plate capacity, and finished cobalt production was 50 tonnes (126 tonnes, 100% basis). Production was affected by strikes involving a portion of the workforce at the Ambatovy Mine and plant, which are now resolved. n

• Cover