BRITISH COLUMBIA – Vancouver’s Taseko Mines, 75% owner of the Gibraltar copper mine near Williams Lake, has extended its copper hedging program to include 40% of its share of production for the first quarter of 2014. The book has a strike price of US$3.00/lb of copper, at a cost of less than US$0.14/lb.
The company also has put option in place for 50% of its 2013 production at a strike price of US$3.00/lb of copper during the first half of the year and US$2.75/lb during the second half.
Taseko’s strategy is to purchase put options to cover the cash cost of production, insuring a minimum quarterly revenue stream without limiting upside copper pricing exposure. The purchase of these new options coincided with the timing of increased copper production from the newly commissioned concentrator at the mine.
The Gibraltar mine is a joint venture of Taseko and Cariboo Copper Corp. (25%). Learn more at TasekoMines.com.