Copper Fox (CUU-TSXV; C$1.19) reported highly encouraging results from drilling of targets outside of the main resource area on its Schaft Creek coppergold project in northwest British Columbia. Those results continue to point to a district-scale exploration target trending north from the area that is subject to the feasibility study. That study, now promised by the end of September, overshadows the recent exploration success. On receipt of the study, the major mining company Teck will have 120 days to elect to back into the project at various levels, or leave the project in the hands of the junior. A back-in would see a wellfinanced major, with a strong presence in BC, investing the next $300 million into the project. The biggest risk at this time is that the capital cost estimates may be higher than expected, a situation that has befallen a number of similar projects over the past couple of years.

Last updated August 2012-2