Canada Nickel Company Inc V.CNC

Copper comparison

[EndZonefor7]

Interesting copper mine comparison on CEO.ca via @StopRunner.

Crawford will be a very proftiable mine and even moreso once some of the other areas are destined to be proved up. Hope we see resource report or drill results out before PDAC. 



@StopRunner Time for some basic financial math investors, haters (and geology professors more interested in chasing VMS dreams) 1. Red Chris is a big mine in BC. They average mined grade is 0.50% copper equivalent or $47 / ton rock at today's prices. https://www.imperialmetals.com/for-our-shareholders/press-releases/red-chris-mineral-resource-tonnage-increased-by-103 2. Red Chris can recover 90% (which they don't) they retain $42 a ton. 3. Canada Nickel the average nickel grades are about .30% for the first few years or $85 a ton rock. 62% recovery is $52 a ton or about 20% more than Red Chris. 4. $CNC states in the slide deck the nickel equivalent is 0.45% (iron + other by product metals) 5. 0.45% Ni-EQ is $126 a ton rock recovery 62% of that and your $78 a ton recoverable and your double what the Red Chris mine recovers. 6. Red Chris has about a 2.5 billion dollar CAPEX in a location that the infrastructure is not as good and more difficult to permit.

@StopRunner Simpleton version = Nickel is 3x the price of copper. There are tons of bulk tonnage low grade deposits around the world lucky to mine 0.5% copper which is $47 a ton rock. 0.25% Nickel is $70 / ton rock even if you recover 62% your still at roughly the same as 0.5% copper with 90% recovery. Most of these low grade copper mines operate in risky countries with poor infrastructure and high capex. Nickel in my opinion has a lot more upside because its harder to find large nickel deposits. That's just back to your supply & demand. There are a lot of low grade copper deposits that can come online with higher copper prices, nickel does not have that benefit. Don't listen to @nabtaplayaegypt First the points he makes may have been valid when Nickel was $8 / lb and the recovery was in the low 50% range. Nickel is now 50% higher and the recoveries are in the low 60%. The initial PEA was not so great at $8 nickel, at $10 nickel it was a slam dunk and the recovery has improved.