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CUU own 25% Schaft Creek: proven/probable min. reserves/940.8m tonnes = 0.27% copper, 0.19 g/t gold, 0.018% moly and 1.72 g/t silver containing: 5.6b lbs copper, 5.8m ounces gold, 363.5m lbs moly and 51.7m ounces silver; (Recoverable CuEq 0.46%)

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Message: NPV is Deceiving Perhaps

I'm interested in why we're not starting out with +180k tpd ... still doesn't make sense to me, but since we basically excluded the inferred from the BFS, the mine life wouldn't be very long. Even our EAO application speaks about a 150k tpd operation. Perhaps there will be some alternative cases in the BFS summary when the 300-400 pages gets filed on SEDAR.

That's not to say that Teck wouldn't start with 180k tpd or more ... just our plan so far is for less. Teck's copper literature usually just counts Proven/Probable and Measured/Indicated (see 2012 presentations) ... there has to be "some" value for our inferred. This is a big question mark, and the inferred is not being factored in at present in the study. I'd like to know, what's up with the rest of the inferred (besides the 171m t). How much more could be moved to indicated, at what price to drill, and what would this do to the economics of the project?

Looking forward to getting more of Elmer's thoughts on these matters when he's back from holidays. Seems like there is more metal to be squeezed out of Schaft Creek (not taking into account the targets we haven't touched yet). We've got 10 billion lbs in the Agoracom CUU header, but are only counting 4.8 billion for the BFS.

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