Leeward Capital Corp LEWCF

RE: The Moly Mania Theme Song

[hank2010]

OOTT: re grades of moly. ore grades are quoted as % of Mo and % of MoSO2. MoSO2 is what is mined and concentrated. Mo is what you get paid for when you ship your MoSO2 conc. to the roaster, roast it and convert it to MoO3. The steel companies do not want any sulphur in their moly as it will screw up the steel. I usually prefer to deal with grade of Mo as that it what the company gets paid for. The uniqueness of LWC is the proximity to the Endako concentrator (and roaster, but the roaster is less important as the cost of shipping MoSO2 to the raoaster is very low per lb of contained Mo). For comparison, consider Montana Resources Inc. (MRI) a private company in Butte Montana. Their concentrator was alrady bot and paid for when they got it from Anaconda. They shut down the copper moly Centenial pit when metal prices were low. and opened up again when copper was about 60 cents and moly $5. If you assume that they were break-even at the time of the re-opening, then they are presently making in excess of $500 million per year before taxes, mining about 53,000 tons per day. Their grade is 0.023% Mo and 0.23% Copper. The Mo equivalent grade (convert copper at to-day's price into Mo at to-day's price) is 0.023% plus .026% = 0.049% Mo equiv. That is lower than LWC grades. And they are making in excess of $500 million per year!