Cantex Mine Development Corp V.CD

Potential Value

[Gillie88]

1 Ton = 2240 Lbs. Approx. zinc price = $1.33 per pound Cantexs presentation slide shows that resource should be pushing 10,000,000 tons @ 20% Zinc 20% = 448 Lbs. per Ton 15% = 336 Lbs. per Ton 10% = 224 Lbs. per Ton Total Current Resource value estimate 20% = $5,958,400,000 15% = $4,468,800,000 10% = $2,979,200,000 This is at $1.33 per Lbs. zinc. Zinc can easily be at $1.70 or higher in the years to come. Its like Eric Sprott says, the thinner higher grades are more economic and profitable than the wider lower grades. From my conversations with Cantex their goal is somewhere close to 20,000,000 tons. If they can get over 15,000,000 tons at 15% or more that puts (at current market value) the projects total Gross value over $7,500,000,000. If this project was to be started in the future at over 1.8 per lb zinc and they're able to zinc a second target this could be a big win. imo a current fair buyout price is between 6 and 8 dollars per share. That would put somewhere in the ballpark of $300,000,000 in chucks pocket. Not a bad pay day at all.

[carter2]

Not to mention the high grade copper deposit and let's not forget the Gold and Silver.  My bet Chuck won't sell for under $40.00 per share. 

[MassiveisKing]

Dear MassiveSulfide, My Savior and Master.  Carter writes about $40/share. I literally just had to pull over the Porsche to the shoulder, and double check the time on the Rolex, all whilst adjusting my Ascot. At that price I will replace my penny in my Penny Loafers with a silver dollar. At that price I will use the proceeds to purchase the worldwide rights to the colour blue and proceed to

[Canbea]

Thanks for the breakdown. If it could get up to 50 cents and stay there I would be happy

[Massivesulfide]

Here is another take at a very rough back of the envelope. $5 - $8 a share for a 70:30 JV with a 3% royalty. 100 million shares outstanding (more or less). Chuck believes this is a 30 year mine. Roughly $1 billion per year worth of extraction materials. Working out to royalty of $30 million a year at current Au, Pb, Zn prices;  Assume royalty runs for 30 years. Roughly $.30 a share. $9

[Gillie88]

The interesting thing about more shares being out is that it essentially means Chuck can sell the mine for less per share and make pretty much the same. Seeing how his position has stayed around 40 percent of available shares. To $10 per share today makes him pretty much the same as $20 per share 3 years ago. That's just the numbers I see on this.

[harmony3]

I sure hope so but, we can't even break past .275  Very strange.

[givemeabreak1]

Fireweed in the Yukon is pushing if not over 50,000,000 tons of about 10% zinc equivalent.  Further at least they have a somewhat dated resource and PEA which is being updated.... I keep hearing these woderful stories and as I said at these levels Cantex seems a no brainer but nothing like the numbers the nutbags on this site are spewing.  Note none of you guys post an estimated cost

[Gillie88]

That's great to hear about fireweed. I'll add some more shares of them along with my Cantex shares. Thanks!

[givemeabreak1]

Gillie Sounds like a plan.  Never good to put all your testicles in one basket!

[TheInverseAgonist]

I've posted compiled data on every core intercept released, it's value and the width as well as aggregated averages for the Discovery Sector, the Mainbody and GZ Zones. I have charts showing Zn, Pb, length variables in three dimensions. I have posted PCA and TSE analyses on the holes using every datapoint publically released looking for high-dimensional correlations in the ore body. 

[MassiveisKing]

Dear TIA: As a believer, I do want to know what the "risks" are that you speak of? 

[Massivesulfide]

Well, well said. Contrary to Voldemort's assertion that this is a cheerleading bag holding section, it's actually a forum to share ideas and ask pertinent questions for clarification of outstanding or unclear issues. If you want to pump other stocks, write on those boards where you can smoke some fireweed.

[coolshivers]

Get to 20mm tons and you'll get your deal.

[TheInverseAgonist]

Get to 20mm and at currently released intercept numbers -- if they hold between holes and don't regress -- you're looking at over $10B in ground, I believe.

[givemeabreak1]

Rough back of the napkin they do not have enough tonnage yet for a large scale mine.  They are not even at 10 million ton production yet which is about 6 year mine life for a large scale bulk tonnage facility!  Which is likely why they have not produced a resource as yet!

[givemeabreak1]

TInverseA is about right 20 million tons get's you over the 10 plus year hump.  That said, whether there is 10 billion in the ground is a meaningless number if it cost 12 billion to get it lol!   I suspect given the very high grades if they hold up across the deposit would be very profitable.  That said there are alot of low grade really narrow veins that are tough and

[MassiveisKing]

Does the Overlord, the Omnipotent One, trifle with projects where the cost of excavation exceeds the value of the minerals in the ground. This is the antithesis of His Highnesses doctrine. Such mistakes would be the perview of mere mortals. The price is raising like the moth to the flame, the flame of his Hignesses outstanding premonition. We are on the path to more sports cars, bigger houses, amd

[carter2]

You realize this is an underground mine, not open pit.  You follow the mineralization. Thought I would point that out seeing as you like to talk gibberish.

[givemeabreak1]

Carter who are you talking about. Given I pointed out that a narrow high grade is 3 to 5 times more costly to run it must be one of the bag holders

[Gillie88]

Why is a narrow high grade more expensive to run? Your getting more material for less waste.

[givemeabreak1]

Gillie if you do not understand the answer to that question you probably are not sufficiently prepared to be investing in mining companies.  

[Gillie88]

So why is high grades not good?? The math just doesn't seem to add up otherwise. For examples 7 meters and 20% is the same metal as 14 meters @ 10%. The only difference I see from a math perspective is less dirt to remove to get the same metal. I know thats an over simplification buts is a perspective of the worth of high grades. I would appreciate any information you can provide to show the

[givemeabreak1]

Gillie I will work it backwords for you providing proof before giving you the answer.  Find a major that does both open pit and underground then look at their average costs per ton mined.  Given most zinc producer typically underground the first thing you might want to look at is a major gold miner who does both.   Take Barrick and look at one of their financials they post per

[givemeabreak1]

Gillie High grades are very good!  Point is simply that you cannot do a simple grade comparison because the costs vary so wildly.  A large open pit might be fantastic at 5% Zinc whereas an underground mine with narrow veins at 5% would not.  It is a case by case basis you cannot throw wild numbers out there because the costs can vary wildly.  Simple point, which is why I was

[givemeabreak1]

Gillie  If you think it is simple as grade you should be loading up on Rockhaven Resources.  They have a high grade narrow resource which includes gold!  They have a completed PEA with a NPV of over 500 million dollars and an updated resource to come.  It is trading at the same market cap as this one.  I could go on with example after example.  As I said, if it were

[Gillie88]

Thank you for the information and view point, much appreciate it. Those very simple numbers weren't ment to compare a underground to open pit. Do you have any shares in Cantex?

[givemeabreak1]

Yes I own shares!  All purchase in the last few weeks.   I probably own more shares than most of the nutty bagholders!

[Gillie88]

Well thats really good to hear. We both have alot of shares at a low cost average. Hopefully many other people do as well. What is your target exit price?

[coolshivers]

isn't around 7 meters the perfect number for a tunnel. So todays news at 6.45 is perfect.

[givemeabreak1]

Shortly after the current drill program is complete they will announce that the plan on completing a maiden resourse at which time you can apologize as I am a mining god.