avb up today, page-2

Maybe so TD but AVB is quite a few days [:-) away from producing sales still.

However, as wonderfully detailed by many posters, these words lifted from an analyst at Haywood Securities (a Canadian investment dealer), in answer to

(bolding is mine)

"What three things should investors look for in a copper project?"

Number one, look for high grade over low grade.

...anything greater than 0.5% to 0.6% copper in an open-pit scenario would be relatively high grade. Anything greater than 1% would be very high grade in an open-pit scenario. As you move underground, you want at least 2% copper.

Obviously, the presence of other byproduct credits changes the economics, but those would be my back-of-the-envelope numbers.


Number two is jurisdiction. Politics has always played a role, but we're seeing more issues with projects in challenging areas.


The last thing is infrastructure. Imagine two geologically identical projects. One is next to a highway with power lines and a port facility. The other is in the middle of the northern Arctic and you have to fly in. Those two projects have significant economic differences when it comes to development. Having established infrastructure is a massive advantage.


Only came across that as I hold a position in Nevsun Resources - which being in Eritrea, Africa kinda violates #2 but grade & infrastructure win as long as relations with sovereign country are managed. So far so good.


Now with AVB - you could say all boxes checked (Brazil OK). The question which always remains is whether the early shareholders win big or not.

While its tempting I have resisted the urge to acquire more.