RE:RE:TasekoTried to compare Taseko vs. Capstone.
Taseko (75%) is producing 100M lbs per year. One could expect an additional 85M from Florence for a total of 185M lbs per year.
Capstone is currently producing 160M lbs per year. One could expect at least an additional 65M from expansion & Santo Domingo JV in the same timeframe as Florence for a total of 225M per year.
Taseko has around 250M outstanding shares.
Capstone has around 400M outstanding shares.
Taseko has a net debt of 261M US
Capstone has a net debt of 164M US
Taseko will have a copper C1 cost around $1.50.
Capstone will have a copper C1 cost around $1.50.
If Taseko sells 50% of Florence for 300M, this would bring both balance sheets pretty close.
Taseko would be left with a 140M lbs production per year. vs. 225M lbs for Capstone.
Takeso: 140M lbs/ 250M shares = 0.56
Capstone: 225M lbs/ 400M shares = 0.56
Taseko: More risk, but more properties in the pipeline for the long run.
Capstone: Less risk, but less properties in the pipeline for the long run.
Short term, IMO, I think Capstone will outperform Taseko, but if Taseko is able to get Florence permitted, up and running and generate enough cash for the other properties, it has a lot more leverage for the medium/long term. Taseko is lagging behind it's peers, but will catch up when there will be less uncertainty with the financing / letigations surrounding Florence.
MoneyK