I'm a little unsure of the expected production costs of $3.50/tonne. Others, like Adanac and Geodex, are quoting $8-12/ tonne. Labour cost savings in Mexico aren't that great and will be less in the future as Mexico's standard of living increases.

However, at $35/lb Mo $8-12/tonne is minimal. Geodex and Adanac are using a $15/lb Mo figure in their long term planning.

The 43-101 report does not mention projected mine life, capital costs, or payback period. These are critical numbers in the viability of a mine.

The deposit has a sharp grade cutoff so 192 million tonnes (indicated and inferred) is probably the maximum size of the deposit unless smaller deposits in the area can be mined. Growth in deposit size is limited where as other potential producers are still expanding tonnages.

Scotiabank has increased their longtern expectations of moly price to over $30 from $27 so the future looks bright and the timing right if production can be implemented within the next couple of years.