Re: Semi-OT: INK Research on Teck and Mining Overview
in response to
by
posted on
Sep 29, 2014 11:21AM
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%)
Teck is very concerned about their debt-to-equity ratio and I wondered if this would affect it negatively. Technically they are arranging financing on our behalf but they have to do that because nobody would lend us the money.
I wondered if they had to make a committment to repay the loan 100% it would affect their debt-to-equity ratio. It makes sense that it would have some affect.
I was also reading about the effect of having too much cash on the books which can be surprisingly negative. Apparently one measure of a company is the return on assets. With cash in the bank, that isn't making such a good return, it lowers their overall return on assets.
It would be nice if something pressures Teck to move forward sooner rather than later.