Morning,
>> Do you have any thoughts on the certainty around the financing? That seems to have been the problem in the past.<<
Yes.....it has always been the missing link.
I am not certain, but fairly optimistic for the a number of reasons.
First, with Martin Marrietta, Teck, and Cantex, we are dealing with the upper tier of management. The last go around with pursuing Teck's interest was never made it this far. Not because it wasn't worthy, but Teck was just starting to go through a major retrenching and there were other priorities.
Second, with the discovery of IXIM Bank, which guarantees 85% of any debt put up, all we are looking for is a guarantee for the remaining 15% of the debt. That means, if we are looking for 5 million, all that is needed from any company that wants to see if this project has legs, is to assume the role of operator and guarantor for $750,000.
Third, gravel prices have been exceptionally strong. Where we were talking about $3.50/ton for gravels 1 year ago, now we are talking $8.50/ton.
Take a look at the stock prices of quote.yahoo.com & quote.yahoo.com , which are two of the largest gravel producers in the U.S. It was also announced recently that the budget for road building in the U.S. would be increased by 40% and extended for another 6 years.
If Teck does go for it, it will say a lot for the potential of this project, as they only look for projects with large potential.
Have a good day,
Rich |
