FAQ"S
1. Exploration
Heavy Minerals
1. When will the next phase of exploration begin?
A: The next phase will be completed by Aug. 2000.
2. How many exploration holes will be drilled?
A: Between 20 and 80 to expand our resource tonnage.
3. How many exploration holes need to be drilled to prepare a feasibility study?
A: None, with the 91 holes drilled and logged on the heavy mineral trend we have enough data to complete the feasibility study.
4. What mineral content is necessary to justify continued exploration?
A: The 10% THM content so far experienced are more than adequate.
5. When will a feasibility study be started?
A: It is already under way.
6. Who will be completing the study?
A: Watts, Griffs and McQuat. Engineer: Joe Wojcik
7. How much will the study cost?
A: approximately $200,000 more will be required.
8. When will the study be completed?
A: We expect the Lakefield test results and RDI Labs results and bulk samples to be finished by mid Sept. W.G.M. will need 30 days to complete the feasibility study once all results are in.
9. What is the quality of the heavy minerals?
A: At the present time we know that all the heavy minerals present are in sufficient quality to contribute toward saleable components ie. Ilmenite, Zircon, Rutile and Garnet.
Coal
10. When will the next phase of exploration begin?
A: We have already begun the paper work on the coal. At present 891 holes are being re-interpreted, after that the feasibility study will begin.
11. How many exploration holes will be drilled?
A: Possibly none, we currently have logs on 891 holes but it will be dependent on regulatory bodies. We are predicting that a few will have to be drilled to corroborate earlier interpretation. We can use gamma logs from 1999 drilling for details on lignite resource in the area of interest.
12. How many exploration holes need to be drilled to prepare a feasibility study?
A: There should be enough already. A few confirmatory holes maybe required.
13. What exploration was completed on the coal lands?
A: The coal lands are drilled on an average of 1200? spacing and includes 58,516? of borehole in 502 holes.
14. When did this initial exploration take place?
A: 1975 to 1978
15. Who completed the drilling?
A: Union Pacific Resources ( or subsidiaries ) had the drilling done by three drilling contractors.
16. When will a feasibility study be started?
A: It has begun.
17. Who will be completing the study?
A: TS2 Consulting will do Most of the study in house. Marcus A. Wiley P.E. of Wiley Engineering Inc will complete and sign the study.
18. How much will the study cost?
A: Approximately $70,000.00
19. When will the study be completed?
A: 3 to 4 months after initiated.
20. What is the quality of the coal?
A: It is lignite. It averages 0.50% sulfur, 6330 BTU/lb. 12.47% ash and 35.2% moisture. Contains 418.5 million tons.
Production
Heavy Minerals
21. What is the recovery rate for the heavy minerals?
A: With the wet gravity separation we had a recovery rate of 80% of the ilmenite, 63% of the zircon and 49% of the garnet. We currently have a contract with Lakefiekd Research to do a flotation separation, which we expect will improve these numbers even more.
22. What is the percentage of overburden?
A: Overburden to ore ratio ( cubic yards to tons ) is about 2 to 1.
23. What is the expected production costs?
A: Projected at $8.23 per ton .
24. Will the company be processing the minerals with a company owned plant?
A: That would be the plan unless a major partner gets involved or the company is taken over.
Coal
25. What is the percentage of overburden?
A: The cubic yards to ton ratio averages 8.6.
26. What is the expected production costs?
A: Around $3 - $4 Cdn./ton
Mineral Separation
27. What process is used to separate the minerals?
A: Probably gravity followed by electrostatic ? electromagnetic separation/concentration.
28. Is there any other available separation methods?
A: Flotation is a potential option that is now being investigated. Preliminary reports by flotation from Lakefield Research indicate improved recovery of all minerals versus gravity and electromagnetic separation.
Market
29. Has a marketing study been completed for heavy minerals and coal?
A: It is in progress with the Titanium and zircon markets looking very good. The Garnet market needs further investigation when an adequate sample is available but initial information is encouraging.
30. If no, who will be completing the study?
A: Radar Acquisitions.
31. How much will the study cost?
A: $30,000 to $90,000
32. What is the forecasted supply and demand for titanium and coal?
A: TiO2 pigment plant capacity is being expanded in most locations. Pigment feedstock production is being limited by environmental concerns ( particularly Madagascar ) and a large producer (Beenup ) has been scuttled by operational problems. With this and the increasing demand TiO2 has been increasing 3 to 5% per year on average but has been larger as of late due to the civil strife in Sierra Leone which has removed 30-35% of supply for an indefinite period. Another concern for the feedstock is the Florida producers are coming to the end of their mine life and production in the near future will not exist. The Coal will be going to a minemouth power plant and is subject to coal market fluctuations.
33. Who is Radar?s competition?
A: Radar?s competition is Rio Tinto, Iluka, DuPont, Kerr McGee and various Australian ilmenite miners. Given the demand for our products all of these are also potential joint venture partners or buy out candidates.
34. Can the minerals be easily transported to a processing facility?
A: Road and rail transportation access is excellent. Might be trausshipped by water.
35. What is the heavy mineral content of competitors?
A: Heavy mineral content both by volume or weight and variety is quite different from one deposit to the next. Most are from 1% to 3.5% THM?s while Radar?s is 10% to 12%.
Corporate
36. What is the company?s current operating costs?
A: Operating costs not including any exploration costs are approximately $10,000.00 per month.
37. What percentage of management?s time is spent on the development of the heavy mineral property?
A: 45%
38. What percentage of management?s time is spent on the development of the coal?
A: 15%
39. What percentage of management?s time is spent on other potential deals?
A: 5% with about 35% left for general administration.
40. What amount of financing is needed to carry out the corporate mission?
A: We have enough financing to complete all the foregoing programs discussed so far in this questionnaire.
41. Is there any pending financing?
A: Additional financing will be addressed at the annual meeting.
42. What is the working capital of the company?
A: Approximately $450,000.00
43. What is the long-term debt of the company?
A: 0
44. What is number of fully diluted shares outstanding?
A: 12,064,143
45. When is the next shareholders' meeting?
A: September 2000, date has not yet been set.
46. Does the company have any intentions of appointing additional directors?
A: Not at this time.
47. How much do the directors earn form the company?
A: 0 There are no salaries been paid by Radar.
48. Has the company completed an environmental impact study?
A: No, but a preliminary study will be undertaken but with the Laws in the U.S.A. the government does the final study. If State lands the State Government, if Federal lands then the Federal Government.
49. What is the goal of the company?
A: To complete a bankable feasibility study on the coal and heavy mineral deposit. Also we will continue to look at all possible ways to add shareholder value.
50. What is the address of the Colorado office?
A: 54 South Flora Way, Golden, CO. 80401. Ph. (303) 279-8367
51. Does the company have any intentions of entering into a joint venture agreement?
A: Yes, If this is in the best interest of the shareholders and the company.
52. Does the company have a business plan?
A: We have an ongoing work in progress plan but until we have all information we can not put together a realistic business plan.
Government and Regulators
53. Are all environmental permits in place?
A: No, environmental permits are needed for the current drilling programs. Before any operations other than drilling are conducted, a variety of permits will have to be obtained.
54. Does the company require additional state or federal permits and licenses?
A: Yes
55. Has the company negotiated with mineral and surface rights owners?
A: Radar already has state lease of strategic parcels and discussions have been opened with other surface rights owners as well, negotiations are ongoing with the freehold mineral rights owners.
56. Has the company satisfied all policies of the Securities Commission?
A: Yes
57. Will the company be required to complete a radiation study?
A: Preliminary lab work using a caustic scrub indicates that the radioactive materials can be remove to satisfactory levels. |
