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Compania Cervecerias Unidas ADR Representing Two Ord Shs V.CCU


Primary Symbol: CCU

Compania Cervecerias Unidas S.A. is a diversified beverage company operating principally in Chile, Argentina, Bolivia, Colombia, Paraguay and Uruguay. The Company operates as a brewer, soft drinks producer, water and nectar producer, wine producer and pisco distributor. The Company's segments include Chile, International Business and Wine. The Company carries a portfolio of products, which includes a range of brands of alcoholic and non-alcoholic beer, with Cristal as its primary brand in Chile. In addition, it produces and distributes Heineken beer; distributes Sol beer and Budweiser beer, and distributes and produces Kunstmann and Austral beer in Chile. The International Business segment includes operations in Argentina, Paraguay and Uruguay. The Company, through Vina San Pedro Tarapaca S.A. (VSPT), produces and markets a range of wine products for the domestic and mainly the export market.


NYSE:CCU - Post by User

Comment by redfoxon Dec 07, 2006 11:27pm
219 Views
Post# 11828555

RE: Copper %?

RE: Copper %?"Anyone know what % is needed to create a viable open pit leach mine? i was under the impression .4% was kinda the low end? is .3 viable and what if copper pricing goes lower?" dont think that there is a definitive % grade but rather you can get a fairly good idea from Sedar and the minig reports where they speak to a cutoff grade of .1% and sometimes .2 %. One mining analyst said that at .3 things begin to look viable, but I could argue that the % ore and profitability is a function of refined copper price; % recovered (for example in CCU's case they get a high recovery rate); extraction process - both at the mine site as well as extraction from the pregnat solution; costs of mining- for example some mines and ores require blasting, crushing, screening and then to heap pile (like for CCU), whereas others (life FCC) have pit run ore that when blasted shatters to the point that secondary crushing is not required. That alone is probably not a big deal but it could add 7 to 10 cents (if I remember the technical reports correctly) to the cost of mining- thus lower the grade, the higher the extraction costs and the lower the margins. Hope this helps, but to answer your question directly: .2% is probably at the low end .4% is not bad .3% is viable if copper goes down lower? We are all SOL! so dont worry about it. Either way this is developing to be a very large, low grade deposit- oh yes, what about Zinc in the deposit?
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