Folks are missing important words in these clauses. The production rates are miniums as are the other paramaters. Note the use of "at least".
§5.5(b)
i) firstly, the report will be considered positive if it indicates that production from the Property Would, on a project basis, generate a NPV of at least $1.00 using a discount rate no less than 12% and assuming a mine life of no less than 12 years and copper rnetal production of at least 25,000 tonnes per annum;
(ii) secondiy, the report will be considered positive if it indicates thatproduction from the Property would, on a project basis, generate a NPV of at least $1.00 using a discount rate of 8% assuming a mine life of no less than 15 years andvcopper metal production of at least 50,000 Ytonnes per annum;
The LOM average is 105 Million tonnes per year so we met that minimum requirement for rate of production easily. We also met the requirement of "no less" than 12 and 15 years of mine life. What seperates these two clauses is our NPV at the different discount rates: 12% for i), and 8% for ii).
...lf the report is positive under §5.5(b)(i), Teck Cominco may give notice to Salazar, within 30 days of receipt of the Feasibility Notice at which production rate the repon shall be considered a Positive Bankable Feasibility Study so long as the project selected has a positive NPV...
Since ES is reported to have said that Teck has 30 days to review the report, I can only assume that we met S5.5(b)(i)
