| | | You are correct on EE taking half of the first tranche. And it states he may participate in the second. However if it was a certainty of great gains there is nothing stopping him from taking it all, but he did not. He supported it enough to imply he was still confident at this price he could at least break even. And that's probably quite true. The rest of the funding was secured by Secutor investments who manages funds for high worth individuals minimum allocation of $500,000. Again those folk are not pressed by a time line. CUU @12 cents could fit with in the 2 to 5% risk capital allowance in a normal portfolio with a ten year horizon.
There is a minable resource there, and some day Teck will exploited it. Just not a great one in comparison to others. It's low IRR 11%, Galore is at 16% in the same location, Red Chris 15.7%, Florence copper 31%, Prosperity is 12% with prices of $1.50 Copper and $575 for Gold.
GOM just a mile or two off a major highway and a local workforce available has a PEA assessment IRR of 72% two mills already in place, no where near finished explorative drilling to extend LOM, well funded, and shooting for production in six months to a years time.
When one looks at the reality Shaft Creek is a minable deposit like I said but it is not near worth anything close to the expectations of many. And there is no way to honestly spin it to be. If you intend to keep up the charade on this forum you will have to back it with numbers and facts.
Book Value of CUU is listed at .19 cents on 417 million shares. That not only includes the 25% owned of Shaft Creek but also all other holdings after liabilities. So I believe EE feels confident in this PP. He could get his total investment back with interest letting Teck have Shaft Creek at .25 cents. and still retain the rest of the assets. For him the timeline does not matter, His Daughter will assume it when he passes and carry on.
Lou |
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