Document zza4jrKe1Dpkmv7En0052MQX0

U !-* ft, iMi U' &ll*n/J INfEitNAL CORRESPONDENCE METALS DIVISION to (N*m owtion u*tton Mr. u. c. Thurber Metals Division Union Carbide Corp. 270 Park Ave. New York, NY 10017 Copy to rj.y r P.0. BOX 579 - 4625 BOYAL AVE.. NIAGARA F^LL6,NeW^0RIC 14302 -N /> oi March 28, 1978 ' ^ Dpt. Mineral Products Technology AMwtr|n OtU $ut>l*ct Speculative Operating Cost Estimate Silane Treated Asbestos Dresser Process Dear Bill: I have estimated that the operating cost to produce a silane-treated leached asbestos product by a competitor would be in the $0.70 per pound order of magnitude. This cost does not include the price of the silane. I made several assumptions in arriving at this figure which includes a production rate of 1000 lb. product per shift. I assumed three shifts per day and fivd days per week or a nominal capacity of 750,000 lb. product per year. It also assumes that the manufacturing would be associated with another facility rather than a "gross roots" operation. 1 have also neglected any allocated expenses or corporate overhead. These costs are sunmarized as follows: i tern Direct Labor Indirect Labor Direct Materials(Ex. silane) Indirect Materials Cost - $/lb. Product 0.373 0.056 0.2175 0.0^35 Total Operating Cost (Ex. silane) O.69 Very truly yours, RGV/bsn Attach. R. G. Woolery UCC 001682 SPECULATIVE OPERATING COST ESTIMATE SILANE -TREATED ASBESTOS DRESSER PROCEDURE Item Price Quant t ty A. Direct Material 1. Asbestos Shipping $ 120/ton 70/ton $190/ton 1.2 2. H.SO. Shipping 3. NaOH 4. Methanol 53/ton 15/ton $68/ton $380/ton 0.44 0.30 5. Fuel 6. Bags + Pal lets 7. S11ane Total Direct Materials (Exc. silane) B. Inc irect Materials Including utilities e 20% of A C. Direct labor 1. Operators - Dryer/Bagger Leach Circuit Filter Foreman Malnt. Per shift 1 1 1 1 1 Per day 3 3 3 1 _r 11 D. indirect labor 8 15% of Direct Total cost per ton of silane product (Exc. silane) Cost $/ton Product $ 228.00 30.00 114.00 30.00 20.00 13-00 Not included $435-00 87-00 e $9.00/hr. 9.00/hr. 9.00/hr. 10.00/hr. 9.50/hr. 144.00 144.00 144.00 160.00 152.00 $746.00 $112.00 $1,380/ton $.69/lb. UCC 001683