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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%)

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Message: M&A

It depends on what efforts CUU has made to position their 25% of SC for sale. I assume they haven't just been sitting on their hands waiting for the phone to ring all these years. Did they talk to Teck about working together to find a suitable replacement for Copper Fox(ie a miner or Sumitomo type investor)? Have they approached miners like Newmont to discuss a purchase? I doubt anyone would get answers to these questions by calling the office because of the implications if they have tried and failed to get any interest. So we have to judge based on the public information, which mostly comes from Teck. I see several optimizations for SC but only Teck can do that and it requires them to start a PFS on SC. First they could split infrastructure costs between Galore and SC(road and power, maybe processing). Then they could try using the block&cave mining approach to access the high grade ore below the open pit level. That's been proposed on a number of the Golden Triangle porphyry gold/copper deposits. The big challenge I see for Copper Fox at SC is convincing someone to pay market value for a deposit that the operator has shown no interest in developing. I've been waiting to see if Teck would start something but it won't be this year.

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