Re: Teck sells another asset
posted on
Oct 08, 2015 10:47AM
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%)
Total invested $600 (interest for two months)
Net profit of $1,666,000
ROR of 2,776 TIMES your money
Do only what you firmly believe in or know. DYODD
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Should be total gambled $100600, you are disregarding the risk on the principal.
This sounds like folly to me, but everyone has their own risk tolerance I guess?
I wish someone would buy a $100k it would prop up the SP.
But imagine the flip side - what if Teck shelves it for 5 years or more?
That is a possibility (hopefully not), but a risk regardless.
What if the unthinkable happened and we couldn't spin off and EE wanted shares for his cash infuson? Stranger things have happened, and then you are up a creek trying to pay off a $100k mistake.