GREY:VMSTF - Post by User
Comment by
U3082014on Nov 11, 2011 10:14am
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Post# 19229444
RE: On the Path To Production
RE: On the Path To ProductionVMS Ventures TSX.V – VMS
The VMS/HudBay joint venture Reed Copper deposit is 2.55 million tonnes of 4.5% copper with upside potential. The two companies are focusing on moving Reed Lake forward, first a preliminary economic assessment (PEA) and then the construction phase with production starting in early 2013.
HudBay has optioned VMS’s Superzone property, the property consists of the Northwest, the Super Zone, the Northeast and the Tower Zones. The Reed North property in the Super Zone area is a new discovery in bimodal volcanism. HudBay’s Trout Lake mine, soon to be closed, is in bimodal volcanism and produced 20 million tonnes over LOM – life of mine.
Production in 2013.....which translates into ZERO cash flow for VMS until MID to late 2013.......Which is 2 years away......
That does NOT bode well for stock price.....as it could languish in the .50-.60 cent range for the next 2 years....
As I said before....
Reed will be a MINE!.
But we need MORE tonnes....to get some interest back in this one.