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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Message: QB2 Sumitomo transaction is even a better benchmark
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After purchasing the minority interest, Teck improved the FS and flipped a portion over to Sumitomo.

If we want to compare apples with apples, the new reserve case after-tax NPV (8%) with copper at $3.00 US is $2.0B US.

Full after-tax NAV value for 30% would be $600M US, but Sumitomo paid $1.2B US.  That's almost 200% of the after-tax NAV (8%) value.  Why?  In a way, they are almost getting a 100% carried interest to production, saving them over $1.4B US, but all this is still not as good as our JV terms.

Conclusions:

Assuming our new after-tax NAV (8%) value will be $400M US (with copper at $3.00 US), 200% would be $800M US.

If Copper Fox intends to not leave any money on the table, I don't see why the price tag could not be above $800M US as our JV agreement is in many ways superior than what Sumitomo got.  

  • We have milestone payments
  • We have a 100% carried interest
  • We don't need to pay 12% incremental for the next phases
  • We have Liard Shares

IMO.

MoneyK

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