There is IMO a growing possibility that we get a 75% back-in decision only for now and only later see the buyout.

I was thinking about this comment that you made. If they opted for the 75% at the beginning and were thinking of a buyout later on, it would be better not to go for the 75% because of the need for financing. I would think that would leave us with about 25% and fully financed by Teck so someone else might be a whole lot more interested in us in that scenario.

If they only opted for 40% then they are not on the hook for financing and although we would have a larger share of the project, at the same time if someone wanted to buy us out they would need to commit to financing their share of the project. It is a more complicated sale then and looks like a lot of more money needed.

Teck doesn't want to go over 30% on their debt to net debt plus equity ratio. It's not just whether they can borrow the money, but what is the value of the asset and what will it do to this ratio? Also they don't want to lose their credit rating. If they pay a lot for SC based on what they assume by improving the capex costs, and converting the waste rock, etc. they might not be able to prove that to their ratings agencies. They said they would run any deal by them first to make sure it didn't harm that rating.

Elmer had said that it would cost Teck about $400 million to opt in for the 75% and then $800 million in capex costs to carry through to production. At that point it would just be better to buy us out. But if Teck won't pay a $1B and we won't accept less, then it might be better for Teck to opt for a lesser amount and get the drilling done that improves the project so that they can justify a higher price, or find a partner to share the costs.