RE:RE:RE:potential but needs some changeThere have also been significant increases in stumpage costs over the past year. Rumour is that there are some mills in the interior that are now not profitable at $600. I believe I know of one timbersale that went for over $200m3...
A general rule of thumb we use in our business is that you need roughly 3.5x your cost per m3 to break even. Conifex being a low quality asset will be higher than this (not including power). I wouldn't be suprised if their average stumpage is now $90.00m3 since July 1st, and with their logging costs maybe $60m3(??) I don't think these guys are making money at todays prices. 150x3.5= $525
Maybe they have some hedges at a higher price, I don't know.