Western Copper and Gold Corp T.WRN

The #1 consideration before investing in miners....

[metalhead666]

Do they have a clear path to production.  It's #1 above all else. If a miner can't get from here to there then they are sitting on worthless real estate.  A bet on WRN is a bet on RIO buying them out. Great if they do but a disaster if they don't.  WRN has NO pathway to production ...none.  Without RIO bidding....Hey look! There's another moose!

[GardenManman]

metal666, but reality was before Rio buy 8%, you already had WRN position. After Rio bought 8%, you had one question in your brain: if Rio do not takeout, so you clear position. I can't understand the logic.

[Sooner]

Yes . And before Rio WRN was about $1.6 usd and if Rio walks...then we go to below $1 meth...

[metalhead666]

Because if Rio walks the assumption will be that the project isn't worth it.....it will be a scarlet letter branded on its forehead going forward.

[Sooner]

I'm continuing to go off the assumption that before we entered into this "dance" with Rio that basic high level discussions took place. When Dale says "what would it take for you to purchase the entire company" ----- it would be obvious that would include not only further vetting out how the permitting process looks, regulators, FN's, etc .....but ALSO something in

[Arrowhead77]

Sooner Yes, you have expressed and explained this concept better than my earlier post----I believe the paramaters of the price range  would have been established by both Rio and WRN prior to the consummation of the deal----Ex."no less than $4.80---no more than $16.00" Still thinking $6.00+/- by end of 2022. Hang in there!

[jclarke042]

Arrow - complete ignorance into how negotiations work. In your scenario, Rio only hears $4.80, WRN only hears $16. Chance of a deal getting done is vanishingly small. No, if anything, WRN would've said something akin to "we're asking X% of the NPV per FS" OR "we're asking X cents/lb of CuEq" And then Rio does its DD (as they're doing now) and will come back

[metalhead666]

yep..that's the most likely scenario

[Sooner]

Clark - I think arrow point and my point is something related to price had to be discussed prior to the invest and collaboration with Rio. I agree with you ...it most likely was something like WRN stating they want X% of NPV and they would have worked thru the input variables on metal prices, discount factor, etc prior. Then Rio would say something like they typically value projects at Y% of NPV

[Heywood_Silvers]

Sooner, I agree that the basic variables were probably discussed prior to starting down this path with RIO.  There is some wiggle room between the 5% and 8% discount factors that could be used to generate an NPV profile.  Where our ace in the hole lies though, is that the further this drags on, the size of the deposit and ounces in the ground grows and the value of the deposit grows as

[Sooner]

Heywood - clearly i'm not knowledgeable enough. They've been drilling and exploring for like 15 years now and we still don't have a firm grasp on total metals involved in the property? I know Canadian Creek not fully explored, but i would have thought the rest would be farily well defined by now. No?  Does changing from Inferred to M&I really make that much difference? 

[Heywood_Silvers]

Canadian Creek ABSOLUTELY has to be explored.  If we are goint to get no value for it, why did we waste our time acquiring it? The deep drilling could yield additional ore bodies.  Obviously, at a certain point you have to close shop and say we have what we have and it makes no sense to keep drilling, however, I don't think we are quite at that point yet.  RIO needs