I read something on another site regarding Teck that made quite a bit of sense to me and it is an argument we have been using on CUU for ages only with copper instead of oil. Oil prices are in the toilet but Teck doesn't produce any oil. Zero. Their costs are actually way down because they use large amounts of diesel in all their daily operations. Labour is also plentiful.
I think that if oil prices are still in the tank by the time Teck is ready to produce the first drop the whole world will be in huge trouble. We watched the same thing happen a few years ago and it was a very sudden turn around. I had been buying Teck in the last few months and am going to hold it for quite a while longer. Last time this happened Teck was under 4 bucks and rose to 60. I was kicking myself for selling out at 40. Ah, the good old days! I also think Teck is going to have to bolster their copper supply/production for future years and depending what the "real" numbers they come up with are, I am hoping Schaft Creek fits their bill. It would be nice to see them get moving on this thing while labour and fuel are easy to come by and cheap. I bet you could get a hell of a deal on mining equipment right now too...
