Taseko Mines
Public | |
Traded as |
NYSE MKT: TGB TSX: TKO |
Industry | Copper and Gold, Niobium |
Founded | 1999 |
Headquarters | Vancouver, Canada |
Key people | Mr. Russell E. Hallbauer, Teseko's CEO |
Products | Copper, Gold,Niobium, and molybdenum |
Revenue | $218.07 million[1] USD (2007) |
$56.98 million[1] USD (2007) | |
$56.98 million[1] USD (2007) | |
Number of employees | 514 (2010) |
Slogan | Building wealth through developing and operating major copper mines |
Website | www.tasekomines.com |
Taseko Mines Limited is a mid-tier copper producer located in British Columbia, Canada. It operates Gibraltar Mine, the second largest open-pit mine in Canada, and is in the planning stages for several other mines including the Prosperity Mine, Harmony, and Aley. All production is sold at non-hedged market based prices. The market capitalization currently is roughly 740 million dollars.
News
- August 13, 2008 - Earnings Announcement
- July 1, 2008 - Jeffrey Mason as Chief Financial Officer resigns
- June 26, 2008 - Taseko purchases 100 million dollars' worth of mining equipment for Gibraltar phase III
- May 13, 2008 - Phase III of expansion of Gibraltar announced. Output will rise to ~170-180 million lb of copper per year
- May 8, 2008 - Electrical transformer failure (results in mill not operating for 10 days)
Company history
- 1991 - Prosperity project acquired
- July 1999 - Gibraltar acquired from Boliden
- 2002 - Harmony acquired
- 2004 - Gibraltar reopened due to high copper prices
- 2007 - Aley acquired
Gibraltar mine
Operations: Large open pit mine with production ranging from 80-110 million lb copper per year at a cost of $1.20 per lb mined once phase II expansion has been completed.
Reserves: 2.4 billion pounds of copper and 69 million pounds of molybdenum[2]
- 1.86 billion lb copper produced 1973-1998
Timeline:
- 1973 - Placer Development opens mine
- 1996 - Mine sold to Westmin Resources
- 1998 - Mine closed
- July 1999 - Taseko purchases Gibraltar from Boliden
- October 2004 - Mine reopens under Taseko
- 2006 - Taseko takes over operations at Gibraltar
- May 2006 - Phase I expansion of Gibraltar announced. Concentrator capacity increases from 36,750 to 46,000 tpd at a cost of 76 million
- May 2007 - Phase II expansion of Gibraltar announced. Concentrator capacity will increase from 46,000 to 55,000 tpd at a cost of 40 million
- May 13, 2008 - Phase III expansion of Gibraltar. An additional concentrator will be constructed with an additional output of 30,000 tpd. Which management believes will yield 180 million lb copper per year
Prosperity Mine
Property includes 85 square km in south central British Columbia. A large copper and gold mineralization has been defined on the property containing around 5.3 billion lb copper and 13.3 million oz of gold. The feasibility for the mine was completed on September 25, 2007 and the environmental review process began in July 2008.
Operations: Large open-pit copper and gold mine with projected production of 108 million lb per year and 247,000 oz of gold per year for 20 years.
Reserves
Cost: ~800 million
In 2009, proven reserves for the mine were 481 million tonnes 0.46 gram per tonne of gold and 0.26 per cent copper. Probable reserves were estimated at 350 million tonnes grading 0.35 gram per tonne of gold and 0.18 per cent of copper (based on a $5.50 net smelter return cut-off).[3]
Timeline
- 1991 - acquired by Taseko Mines
- Sep 25, 2007 - feasibility study completed for 70,000 tonnes per day with 20 year mine life
- July 2008 - Environmental assessment begins
- November 2010 - initial open-pit proposal rejected by Canadian Environmental Assessment Agency review board. Environment Minister Jim Prentice and the minority Tory government support the rejection.[4]
- November 2011 - Taseko President Russell Hallbauer sends a letter to Environment Minister Peter Kent suggesting that the proposal was rejected for "spiritual" rather than environmental reasons.[5]
Harmony Mine
The Harmony property is located on Graham Island, the largest island of the Haida Gwaii archipelago, within the Queen Charlotte Islands, off the coast of British Columbia. The property contains a low-grade gold mineralization that can only be mined profitably at historically high gold prices. Teseko has yet to explore this property and values the property at $1 on its balance sheet as of September 2004.[6]
Status: Exploration asset
Reserves:
- latest engineering study indicated 64 million tonnes at 1.52 grams per tonne. In place resources are ~3 million oz of gold.
Cost: No projects pending
projects pending: N/A
Timeline
- 1970's - property discovered
- October 2001 - property acquired for 2.23 million dollars and preferred stock
- September 30, 2004 - property value written down to nominal value of $1
Location: Aley
The Aley asset contains Niobium, a rare metal used in the production of special steel alloys that are corrosion resistant. Currently only 2 mines in the world produce the rare metal.[7] The spot price of this metal has risen significantly in the last 5 years, from has low as $6.70 per lb in 2004 to ~$24.00 currently . The property is located near the shore of the lake, about 30 kilometers from the Camp. The price of
Status: Exploration asset
Reserves: A feasibility study has not been completed thus-far. The resource estimates are 330-500 million lb with recoveries of which 65% may be recovered
Cost: N/A feasibility study not completed
Timeline
- 1980's – Discovered by Cominco
- June 2007 - Teseko acquires property for 1.5 million cash + ~894,730 common shares
- 2008 - Exploration of property begins
Financial information
- Shares listed on the NYSE under the "TGB" symbol
- Teseko owns 7.318 million shares of Continental Mining, a Chinese mining company
March 31, 2008 | September 30, 2007 | June 2007 | September 2006 | ||
Current Assets | |||||
---|---|---|---|---|---|
Cash and equivalents | 66,416 | 37,636 | 44,306 | 89,408 | |
Restricted Cash | - | 4,400 | 4,400 | - | |
Marketable Securities and investments | 14,850 | 18,542 | - | - | |
Accounts Receivable | 12,209 | 12,021 | 16,203 | 9,342 | |
Income Taxes Receivable | 6,344 | - | - | - | |
Advances to Related party | - | 807 | - | - | |
Inventory | 22,724 | 18,058 | 12,744 | 24,218 | |
Prepaid expenses | 839 | 1,069 | 2,641 | 1,221 | |
Current portion of promissory note | 723 | 2,086 | 1,238 | 2,157 | |
124,105 | 94,619 | 97,907 | 149,447 | ||
Restricted Cash | - | 4,400 | 4,400 | - | |
Reclamation Deposits | 35,468 | 33,396 | 32,653 | 32,004 | |
Promissory Note | 73,058 | 72,350 | 72,128 | 71,009 | |
Property, plant and equipment | 221,821 | 176,898 | 136,843 | 43,445 | |
458,852 | 337,263 | 339,531 | 297,461 |
March 31, 2008 | September 30, 2007 | June 2007 | September 2006 | ||
Current Liabilities | |||||
---|---|---|---|---|---|
Accounts payable and accrued liabilities | 27,032 | 30,435 | 20,646 | 21,961 | |
Advances from related party | 118 | - | - | - | |
Current portion of deferred revenue | 175 | 175 | 1,095 | 1,225 | |
Current portion of royalty obligation | 723 | 2,086 | 1,238 | 2,157 | |
Income taxes payable | - | 6,573 | 13,166 | 3,985 | |
Current portion of future income taxes | - | 807 | - | - | |
29,976 | 44,589 | 35,225 | 47,862 | ||
Income taxes | 25,478 | 24,645 | 22,523 | 21,058 | |
Royalty obligation | 62,590 | 63,330 | 63,825 | 64,632 | |
Deferred revenue | 963 | 1,050 | 1,094 | 1,225 | |
Convertible debt | 43,383 | 41,008 | 42,173 | 42,775 | |
Site closure and reclamation cost | 14,334 | 17,441 | 19,864 | 18,975 | |
Future income taxes | 35,671 | 21,540 | 5,591 | - | |
212,395 | 213,603 | 190,295 | 196,527 | ||
References
- 1 2 3 ОАО "ЛУКОЙЛ". Консолидированная финансовая отчетность за 2006 и 2005 гг., подготовленная в соответствии с ОПБУ США
- ↑ Taseko Mines Limited - News Releases - Taseko Adds 128 Million Tons to Gibraltar Mineral Reserves - Thu Aug 14, 2008
- ↑ Stockwatch news release November 2, 2009, cited in BC MINFILE Record summary No 092O 041 PROSPERITY, FISH LAKE, BB, VICCAL, ALBERT, RENNER, NEW PROSPERITY
- ↑ Prentice kills Taseko's Prosperity mine - Sun Media, November 2, 2010
- ↑ B.C. mining company wants aboriginal 'spirituality' ignored in project review - The Vancouver Sun, April 30, 2012
- ↑ Teseko Mines Limited Annual report p45
- ↑ Niobium
External links
Sources
Prosperity Cost
100 million equipment purchase
Phase III expansion
2007 Annual Report detailing all properties owned
Market Capitalization
CFO resignation