Re: $US28.50 silver
in response to
by
posted on
Aug 07, 2020 08:47AM
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%)
Depends how you see things. In my opinion, the below shows that Teck always had some interest.
The 2013 IRR was 10%. That's not enough for shareholders and Teck had better projects (on paper) at that time. More work was defenitely required before investing over 3B. They also had a very rough period until 2016 and were probably not in a position to allocate much ressources to the Schaft Creek project. By my experience, when a company is in a bad financial situation and needs to cut everwhere (operations, staff, etc,.) you simply cannot work on everything at the same time. They chose to work on QB2, which was legitimate. The mining sector only started to recover in 2016-2017 and that's when Teck started to look at Schaft Creek more seriously. Many things have changed in the last 7 years in our favor (exchange rate, better access, BC Hydro looking for customers, Gold & Silver rally, etc.). This should significantly improve the numbers and reduce cost. For all the above, I believe that after QB2, it will be our turn or at least enough to take us out. JMOI.
MoneyK