CyclesImperial is still operating two mines that are cash positive even at todays metal prices. If copper drops some more that may not be true but if Mount Polley and Red Chris cannot cover their costs then is when the tough decisions have to be made.
As it is the debt holders have to protect their interest s but also they cannot take any action that would cut off all access to funds for operations. Our president expressed his ideas to deepen the Cariboo pit at Mt. Polley and to increase the stripping in the push back at Red Chris by utilizing the new ($50 million dollar ) shovel so they can obtain higher grade material sooner in the main pit.
I was surprised there was no mention of the lawsuit against the engineers who screwed up the geology of the Mount Polley Tailings dam that resulted in the dam breach. If the suit is successful the money problems would be substantially reduced as that was a costly event.
The world demand for copper seems to be rising while the price is falling-this seems bizzare to me and because of this schism between opposing forces I think the price has to go up. I am long Imperial and recently averaged down but the share price seems to reflect a negative attitude towards the companies prospects. When they get back to normal operations I think they will be able to repay the debt-but it will just take longer than originally planned.