Tis rigor and not law

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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