Re: not sure
in response to
by
posted on
Dec 14, 2015 07:51PM
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%)
These aren't 'costs' as defined by the JV. The JV does not oblige Teck to pay for the Liard shares.
Once more, from the JV:
During the term of the Joint Venture formed hereunder, if a Party or any of its Affiliate acquires legal or beneficial interest in any Liard Shares, other than pursuant to a distribution referred to in ยง6.4(c), it will offer to have that legal or beneficial interest included in this Agreement. The other Party shall have 30 days to elect whether to accept that offer and, where appropriate, pay its share of the costs of acquisition; failing which election and payment, the acquiring Party may retain the interest in the Liard Shares so acquired free of the terms of this Agreement.
The agreement specifically states that we would be obliged to pay our share. Instead Teck has allowed that purchase to fall under the pre-production costs, the first $60 million, that we do not have to pay back. This is not how the JV is written.
From the NR: