How can this be???!!!!!!!, page-23

Quinn,

Just a further point on your long term graph of copper prices that is very important. Up until about '98 the real price of energy was getting cheaper, so when the average grade of copper mined world wide fell from 4% to 3%, the number of tonnes processed went from 25t to 33.3t, no big deal as energy was getting cheaper.
The relentless decline in grades of copper mined has now fallen to such a point that it takes 100t plus of ore to get 1t copper, but especially since around 2005/6, thecost of energy in real terms has risen.



We are also living off older discoveries, ones that had much higher grades than recently discovered ones. As they deplete, and demand for copper keeps growing (think electric cars etc, world moving away from fossil fuels) , then the real price must rise because of the ever lowering of average grade of ore mined and the increasing price of energy.

There is however a difference between the macro scale and the micro with what is happening to Tiger, and ST vs LT. I'm quite prepared to bet the price of copper in 2014 dollars will be much higher by 2025, probably over $10/lb, yet finding the corrrect place and time to put your investment dollars is the difficult part.

BHP and RIO wouldn't be investing in the Resolution mine in Arizona if they didn't think copper will be much higher in the 2020's. This is from their copper mining documentation on the Resolution mine....

"The Resolution Project ore body is deep (approximately 5,000 to 7,000 ft [1,500 to 2,130 m] beneath the ground surface), relatively low grade, and with widely disseminated copper."
The average ore grade is something like 1.47%, very low for something so deep. The rock temperature is something like 175 degreee Farenheit, so refrigerated air must be pumped down for workers. Look it up, and the billions BHP and RIO are spending on it. They wouldn't touch it if they thought copper wasn't going much higher in price.

I bought Tiger in the 30's, sold at 31c for a small loss, I can't believe how low it has gone, but thebottom must be somewhere soon. If there was 7c on Monday I'd jump in.

However now I'm worried about debt covenants.

Often the debt can be immediately repayable upon the Share price falling below a certain level. Do we know if this exists with Tiger?? If so 10c was possibly it. Anyone know??