Welcome To the Copper Fox Metals Inc. HUB On AGORACOM

CUU own 25% Schaft Creek: proven/probable min. reserves/940.8m tonnes = 0.27% copper, 0.19 g/t gold, 0.018% moly and 1.72 g/t silver containing: 5.6b lbs copper, 5.8m ounces gold, 363.5m lbs moly and 51.7m ounces silver; (Recoverable CuEq 0.46%)

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Message: Smithers Presentation

54 Minutes in

Question:

"Any exploration outside the 2km limit this year?"

Answer:

"Well that depends primarily on Teck. If Teck comes in, they will be the operator. If they come in for 75%, they will be the operator. They'll dictate the program. And as we were talking over at dinner, umm, there is no disagreement between what we would do and what Teck does because it's very straightforward what has to be done at Schaft Creek... what the next phases are. To explore outside the 2km AMI just doesn't make any economic sense.

I do believe, and I will tell you if... if Teck decides to make an offer to buy the company, I would be very surprised if they don't want *all* the land... not just a piece of the land. I think that's a pretty decent way to go because even if they only take a piece of the land, you have to find a deposit outside Schaft Creek that's big enough to sustain a capital development like Schaft Creek again. Whereas if they buy all the land, then the deposit only needs to cover their operating costs plus their expected internal rate of return."

...

Next there was a question about why the waste rock wasn't proven up more, to which they indicated that drilling the waste rock last summer would have suspended/delayed the BFS by at least another full year. They were not willing to do that. Moving on to the question after that:

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56 minutes in

Question:

"You mentioned that Teck was analyzing their options. When would you expect that they could come to some sort of decision?"

(Note from Hayz: This question was slightly obscured as the person asking was some distance from me, but this is definitely the gist of what was being asked)

Answer:

"Well hopefully they do it on Monday (Laughs), but I don't know (laughs again). No, we've had a lot of discussions with Teck, and I can tell you that the discussions we've had - the questions they're asking - they're clearly trying to get to "yes." Now, what you have to understand is that if Teck comes in for 75%, it's like making a commitment for a 3.2 billion dollar capital investment. And given that Teck was pretty much like Copper Fox in 2008/2009 on the verge of bankruptcy, I'm sure that they have some pretty stringent internal controls on expenditures. It probably would require the board of directors' approval. I don't know that, but I suspect that's what it would be. So, even then, they have to get internal approval."

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