RE: Teck back in questionWhen you crunch the numbers a 100% takeout is nothing. The only thing that might make them think about 40% would be meeting the technical terms of the agreement. I have no doubt Teck has talked to Nova and possibly other players in the area to see if a synergy can be formed.
There is a sense where the 40% option is an advantage. China would own 17% of Teck's 40% and then the could directly take out CUU for a total of 66.8%. (There is a royalty % that has to come off the top of production but doesn't enter here).
66.8% of the deposit would work for them without overly alarming the government. It would avoid the 4 year spending clause alowing for more thoughtfull development. I have figures for this scenario and it would be very good for us. This may be why an airbourne is being done. CUU expects a bid for the co.