An oil refinery is located on the north bank of a straight river that is 4 km wide. A pipeline is to be constructed from the refinery to storage tanks located on the south bank of the river 8 km east of the refinery. The cost of laying pipe is $600,000/km over land to point P on the north bank and $800,000/km under river to the tanks. What is the minimal cost to construct a pipeline from the refinery to the storage tanks and how much of the pipe will be under the river? Justify your answer.
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