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: Re: Teck’s dilemma & Our leverage

Teck has obviously slow/low played SC but they are going to have to now pay for it just based on the surging copper price alone.

This seems to be the consensus among many here on this forum, and it would certainly hold true today. I sure as hell hope you all are right.

But there's no guarantee of a metals supercycle. Just as easily as we could see copper climb to $7 or $10 per pound, we could also watch an overdue recession kick in, and it could be a doozy after all the artificial money pumped into the system and governments so deep in debt that they have little room to print even more money on a massive scale -- besides, inflation is already making them leery of staying on that path and interest rates are consequently increasing and will likely continue to do so. 

I hate to say it, but a year or two from now, we could be staring at copper at $2.75 per pound if/when the tires blow on the economy because those cycles always happen.

Then we'd quite possibly be stuck in a five or ten year recovery period again. And we'd have to look at CUU management and ask why in the hell they failed to capitalize on the favorable conditions that we're experiencing right now. 

So "slow playing" things, whether by Teck or by CUU, could pay off in grand fashion or it could cost us another decade. It's like sitting at the craps table. I just wish, as do some other investors here surely, that I had an idea in advance that we'd be left dangling in the breeze for all these years while this strategy played out. I know I would have moved on.

 

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