Re: not a good time to buy a mine

Welcome To the Copper Fox Metals Inc. HUB On AGORACOM

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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sharp662

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Re: not a good time to buy a mine

in response to

not a good time to buy a mine

bunter

posted on Jun 24, 2013 01:45PM

I agree: "not a good time to buy a mine"

However, it is a great time to CREATE a mine. Capital expenditures will be relatively cheaper. If prices stay low for 1-2 years from now that would be a perfect situation for Teck to develop a mine in a safe jurisdiction while they wait for all the permits to be approved and line up all the labour and materials needed to start a mine, which would go into production a few years from now.

Presumably, the mine will come into production during higher prices (long-term).

The companies that are hurting now are the ones that began construction on a new mine during the higher prices 2-3 years ago. And now they have to sell their production into a falling market.