GREY:NEVDQ - Post by User
Post by
Notgnuon Nov 30, 2020 3:06am
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Post# 31998576
With copper up so much
With copper up so much the price for another amount of copper forward at these prices or just wait and see?
I wonder if NCU will opt to fix another few months worth of partial production at current prices, or take a wait and see approach? Thoughts?
d) Hedging Arrangement Under the Working Capital Facility (note 4b)
the Company has the ability to fix the price of payable copper for monthly volumes to be delivered to Concord under its offtake arrangements with Concord on a rolling basis, allowing the Company to fix the price of copper to be delivered for an agreed period of time. Under these arrangements, the Company will be required to provide cash collateral to Concord in the event that during the course of such arrangements, as tested on a weekly basis, the variation margin exposure to Concord is over an agreed threshold amount, currently fixed at $3,500. During the period, the Company fixed the pricing of 325 metric tonnes of payable copper delivered per month for the first six months of 2021 for prices ranging between $6,394 and $6,402 per metric tonne of payable copper.
Notgnu