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Coppernico Metals Inc CPPMF


Primary Symbol: T.COPR

Coppernico Metals Inc. is a Canada-based mineral exploration company. The Company is principally engaged in the acquisition and exploration of mineral property interests. The Company is focused on exploration and discovery of copper-gold deposits in the South America. The Company’s primary asset is the Sombrero copper-gold project located in southern Peru. The Sombrero Project is a land package of approximately 102,000 hectares located about 340 kilometers SE of Lima in southern Peru. The concessions are hosted in the northwestern extension of the Andahuaylas-Yauri belt. The principal targets at Sombrero are copper-gold skarn, porphyry systems and precious metal epithermal deposits. The Company’s subsidiary is Sombrero Minerales, S.A.C.


TSX:COPR - Post by User

Comment by kickhorseon Oct 04, 2021 9:18am
193 Views
Post# 33960117

RE:RE:RE:RE:RE:RE:Last chance technically

RE:RE:RE:RE:RE:RE:Last chance technicallyOre processing will increase, I recall, however, that the mine plan calls for mining lesser grades in 2022.  Likely close to an evening out.  Comments please.

With respect to debt, the company needed to repay the debt it took on  back in 2011. It was anticipated it would be paid off by end of 2022, but it did not come to pass. The company paid off the debt with the bond proceeds.  It had to refinance or extend the old financing.

First, I recall that the structure of the bond offering sees cmmc keep 100% of production until it matures, rather than sharing with Mitubushi 75/25.

Second, production should increase from 100MM pounds to somewhere between 200-300MM pounds with New Ingerbelle and/or Eva. Cash flow predicated on cu price increases commensurately.  The company will have to pay 250MM USD but the cash flow will permit a repayment and/or a fresh bond offering easily serviced by free cash flow.


The bugaboo is cu pricing, if it stays above 3.80 cmmc is a money machine and the debt overhang is not an issue.   I think it is safe at anything over 3.50 or so. AT 3 bucks, debt becomes an issue. at 5 buck cu, we're laughing. Over that, ...

My two cents.

I am long and intend to be for 7 years or so, trading along the way.
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