Casting Specialists

 
Unicast Blog

Base Year Surcharge Calculations – Jan. 4, 2010

I. Energy / Utilities

A. Electricity

1. Consumption per gross pound melted = .3972 kwh / gross lbs melted

2. Cost per KWH = .0639$/kwh

3. Adjusted for Yield.

4. Electricity costs per ton and pound

a. 2010 = (2000 lbs x .3971 kwh/gr lb melted) x .0639$/kwh = $50.75 / Gr ton melted

b. Adjusted for yield to get to $/net pound – 0.0488$/net pound

c. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

B. Natural Gas

1. Dollar consumption per gross pound melted = .0042$ / gross lbs.

a. Adjusted for yield – 0.0081$/net pound

b. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

C. Coke – Cupola Shop = $376 / nt purchased

a. Adjusted for yield

b. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

c. Coke is the primary energy source in a cupola melt operation, independent of the electricity required for the holding furnace. Increased cost is reflected in a “charge” cost calculation. (See charge cost January 4, 2010 below).

D. Water / Sewer = .0042$ / gal

a. Adjusted for yield

b. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

E. Energy total

a. Electricity

b. Natural Gas

c. Charge Coke

d. Water / Sewer

e. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

II. Disposal Costs – Consumption per gross lb melted = .0034$/gross lb

a. Adjusted for yield

b. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

III. Pre-charge cost calculation / Disposal and Energy

a. Energy total

b. Disposal total

c. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

IV. Charge calculations – Base Year January 4, 2010 (See Link)

V. Total surcharge adjustment since base Year 2010.

a. Charge cost increase.

b. Environmentals & Disposal Increase

c. Energy Cost Increase

Subtotal

d. If a customer’s yield is higher or lower, it will have a significant impact and will be adjusted for accordingly.

VI. It should be noted by all, that under the Obama Administration, all of the above costs will only increase dramatically for many years to come.

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SURCHARGE CALCULATION

January 1, 2010

      CLASS 25     CLASS 30  
    COST     COST     COST
    PER LB % LBS. PER NT % LBS. PER NT
  COST           2041.60  
RETURNS 184.99 NT 0.092 45.00% 900.00 82.80 44.06% 881.28 81.08
BASIC PIG IRON 316.00 NT 0.158 12.00% 240.00 37.92 11.75% 235.01 37.13
Foundry Pig - NT 0.000   - - 0.00% 0.00 -
MOTOR BLOCK 211.00 GT 0.094 43.00% 860.00 81.01 42.11% 842.11 79.32
COKE 376.00 NT 0.188   285.00 53.58 0.00% 285.00 53.58
LIMESTONE 14.00 NT 0.007   95.00 0.67   95.00 0.67
50% SILICON BRICK 486.00 NT 0.243   36.00 8.75   36.00 8.75
CARBON/GRAPHITE 1,060.00 NT 0.530   4.00 2.12   4.00 2.12
MANGANESE BRICK 1,249.00 NT 0.625   1.50 0.94   1.50 0.94
STEEL 484.00 GT 0.216     - 2.00% 40.00 8.64
FERRO MOLY - LB       -   0.00 -
INOCUCHROME 0.91 LB 0.910       0.00% 0.00 -
TIN 7.35 LB 7.350     - 0.08% 1.60 11.76
      100.00%     100.00%    
                 
COST PER NET TON         184.99     202.91
COST PER NET TON WITH RETURNS     267.79     283.99

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      CLASS Super 30   CLASS 35  
    COST     COST     COST
    PER LB % LBS. PER NT % LBS. PER NT
  COST     2001.60     2051.60  
RETURNS 184.99 NT 0.092 44.96% 899.28 82.73 43.84% 876.78 80.66
BASIC PIG IRON 316.00 NT 0.158 11.99% 239.81 37.89 11.69% 233.81 36.94
Foundry Pig - NT 0.000 0.00% 0.00 - 0.00% 0.00 -
MOTOR BLOCK 211.00 GT 0.094 42.97% 859.31 80.94 41.89% 837.81 78.92
COKE 376.00 NT 0.188 0.00% 255.00 47.94 0.00% 285.00 53.58
LIMESTONE 14.00 NT 0.007   95.00 0.67   95.00 0.67
50% SILICON BRICK 486.00 NT 0.243   32.00 7.78   36.00 8.75
CARBON/GRAPHITE 1,060.00 NT 0.530   0.00 -   4.00 2.12
MANGANESE BRICK 1,249.00 NT 0.625   1.50 0.94   1.50 0.94
STEEL 484.00 GT 0.216 0.00% 0.00 - 2.00% 40.00 8.64
FERRO MOLY - LB     0.00 - 0.00% 0.00 -
INOCUCHROME 0.91 LB 0.910 0.00% 0.00 - 0.50% 10.00 9.10
TIN 7.35 LB 7.350 0.08% 1.60 11.76 0.08% 1.60 11.76
      100.00%     100.00%    
                 
COST PER NET TON         187.92     211.42 
COST PER NET TON WITH RETURNS     270.65     292.08

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      CLASS 40  
    COST     COST
    PER LB % LBS. PER NT
  COST     2051.6  
RETURNS 184.99 NT 0.092 43.84% 876.78 80.66
BASIC PIG IRON 316.00 NT 0.158 11.69% 233.81 36.94
Foundry Pig - NT 0.000 0.00% 0.00 -
MOTOR BLOCK 211.00 GT 0.094 41.89% 837.81 78.92
COKE 376.00 NT 0.188 0.00% 285.00 53.58
LIMESTONE 14.00 NT 0.007   95.00 0.67
50% SILICON BRICK 486.00 NT 0.243   36.00 8.75
CARBON/GRAPHITE 1,060.00 NT 0.530   4.00 2.12
MANGANESE BRICK 1,249.00 NT 0.625   1.50 0.94
STEEL 484.00 GT 0.216 1.50% 30.00 6.48
FERRO MOLY - LB   0.00% 0.00 -
INOCUCHROME 0.91 LB 0.910 1.00% 20.00 18.20
TIN 7.35 LB 7.350 0.08% 1.60 11.76
      100.00%    
           
COST PER NET TON         218.36
COST PER NET TON WITH RETURNS     299.02

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