A couple things..
posted on
Oct 04, 2013 11:55AM
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%)
NOT JUST THE PARAMOUNT ZONE
Many of you might not be aware of this but Teck isn't just going hard on the Paramount zone.
They're aslo drilling the Mike zone and the Discovery zone.
Why do you think they're doing this ? Waste time and money ? No.
Word is, if they see what they want, this will be one big MEGA pit, incorporating the Liard, Paramount, Mike and Discovery zone.
Forget about thinking big, think HUGE, Teck is.
EAA
This brings me to the EAA.
As I've said before, CUU didn't submit it because they knew Teck would be the operator.
The current EAA is for a 130k tpd mine. Teck won't start the EAA process for a 130ktpd mine when we could be looking at 200k-250k tpd.
This is the reason Teck isn't wasting any time and they're collecting the proof required to decide on the size...including Mike and Discovery zone.
They'll use the great work Shane did and run with it, adding to it.
It took 24 hours for Teck to walk from Pebble. they said ''lets talk'' the day they received the Schaft Creek Feasibility.
Looking at their current projects, I'm sure Teck has a sense of urgency to start Schaft Creek (time wise).
The production decision will come alot faster than many think.
EQUITY INTEREST or WORKING INTEREST
CUU keeps bringing this up (NR, MD&A, presentation). I'm expecting an equity interest on an advanced stage project probably not in Arizona.
If it was an acquisitoin or working interest it woudl surely be in Arizona with the others = limiting their choices.
The equity interest would allow CUU to ride the wave on what they think is a great opportunity, anywhere in North America.
Just like Copper Fox needed Ernesto at one point...others are in the same situation today. These projects will go up in value with the markets.
The timing is great, alot of value per dollar.
This should happen soon...before cheap becomes expensive.
ARIZONA
I think the plan is:
Confirm the historical resource for Van Dyke, go straight to a PEA (Preliminary Economic Assessement). Get Dessert Fox the TSX listing.
How will they get the investor base ? Take a guess. You'll all be receiving shares.
Apparently we're not the only ones interested in the area.
September 04, 2013 09:55 ET
Eurasian Minerals Options Three Arizona Porphyry Projects to Desert Star Resources
http://www.marketwired.com/press-release/eurasian-minerals-options-three-arizona-porphyry-copper-projects-desert-star-resources-tsx-venture-emx-1827147.htm
Or how about an alliance with a major just like this one...something I expect Desert Fox to do in the futur.
Global Geoscience (ASX: GSC), a Sydney-based mineral exploration company, has teamed up with the US$14 billion capitalised Antofagasta to explore for copper in Arizona
http://www.proactiveinvestors.com.au/companies/news/48677/global-geoscience-gains-antofagasta-free-carry-for-copper-project-in-arizona-48677.html
SELLING SCHAFT CREEK INTEREST
You can't buy something that's not for sale.....yet.
I've said this before. People seem to think CUU's waiting for a buyer. I think it's the other way around.
CUU's waiting for results before they decide to put their Schaft Creek interest on the market.
Teck could act first but aren't required to until CUU decide to stick the FRoO (First Right of Offer) on them. And CUU won't do that until they know what they have (current drilling program).
Copper buyers are out there. That will be the easy part (when CUU is ready to move)
Just look at those willing to bid for Las Bambas in Peru.
Minmetals, Chinalco, Jiangxi, rumors of Newmont and ex Xstrata CEO with X2.
http://www.reuters.com/article/2013/10/03/us-minmetals-lasbambas-idUSBRE9920VF20131003
Note these buyers showed up only once Las Bambas was forcefully put on sale.