Here is the way I see it.

If you look at the BFS, they are expecting to pay the initial capex of 3 257 (million) in 6.5 years.

This means that they expect around 500 (million) per year in cash flow.

Once the initial capex is paid for, this results in profit.

Therefore 500 (million) per year x 25% (our share of the projet) = 125 (million) per year.

125 (million) divided by 400 (million) shares = 0.31$ per share

This doesn't mean that Copper Fox would give shareholders the entire 0.31$ per share in dividend, but they certainly don't need 125 (million) per year to drill holes on other properties.

Therefore, 0.25$ per share could make sense! Which would leave them around 25 (million) per year to play around on other properties.

Now, if they are able to lower the initial capex and increase the recovery rates etc, the initial capex would be paid quicker and the cash flow would also increase. This would result in even better numbers.

Having a 0.25$ dividend would give a shareholder 5% on his dividend if he purchased the his stocks at 5$ (this 6.5 after production decision)

5$ in 6.5 years equal to a little more then 3.5$ today for somebody looking at a 5% ROI.

There's a lot of room for improvement between the current SP and possible future SP.

MoneyK