From Copper Fox news release.

A significant aspect of the 2014 activities undertaken by the Joint Venture is to identify opportunities to reduce capital expenditure. This initiative is related to a high level review on three aspects of the project where capital cost reductions may be achieved. These are: i) the location and construction of the containment dams for the tailing storage facility, ii) the re-location of the mill closer to the pit to reduce transportation distances and iii) camp facilities.

http://copperfoxmetals.mwnewsroom.com/press-releases/copper-fox-announces-update-on-schaft-creek-project-tsx-venture-cuu-201410230974410001

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I would suggest that the biggest stumbling block for us right now is the CAPEX costs. I'm sure SC will be one of their richest and lowest cost/lb properties. But its a BIG spend to get it operational and won't start paying back for several years.

We don't have the results yet so I have no idea how much savings can be achieved.

Also, don't look at the $3.5 billion price tag thinking it's a big obstacle. Fort Hills is $2.5 billion and same scenario as SC.

The stumbling block can be removed by having a partner to pay for it. Finance it through the banks. Or simply look at the initial 12 years and figure a way out where you can spend the least but make the most in the shortest amount of time to pay back your money.

This is why the buyout value won't be based on FS but on the study and what Teck can achieve with this project.

Also...even based on FS, the $3.5 billion bill comes in separate payments. $50 million @ 0% completion, $100 million at 20% complettion, $600 million at 60% completion etc... (I giving you numbers as an example. We have a time span of 5 years to construct.

As for VD and water, maybe go google map VD and you will see the ponds of water across the street. There is water there.