Thy sin’s not accidental

This Thing Isn’t Like That Thing, Hudbay (HBM) Constancia edition

This thing is from the time Hudbay (HBM) bought Constancia by purchasing Norsemont, three years ago:

“Building the Constancia mine will cost about $1-billion, which HudBay said it can do with existing cash and credit lines.”

That thing is from the latest MD&A

“At our 100% owned Constancia copper project in Peru, the project was over 71% complete on a proportion spent basis at the end of March 2014. Of the total project capital budget of US$1.7 billion, we have incurred  approximately US$1.2 billion in costs to March 31, 2014 and entered into an additional US$200 million in  commitments.”

Notice anything?

PS: Another thing:

  • Total market cap of HBM = $1.6Bn. 
  • Capital cost of Constancia $1.7Bn
  • Discuss

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