NEW YORK Copper Fox Metals Inc. posted its first positive quarter since 2009 after receiving Canadian $3.89 million ($3.78 million) from the reversal of a deferred tax liability, the company said Sept. 27.
The Vancouver, British Columbia-based company reported net income of C$3.12 million ($3.03 million) in the fiscal third quarter ended July 31, in contrast to a net loss of C$1.33 million in the same 2012 period.
Copper Fox formed a joint venture with Teck Resources Ltd. to further develop the Schaft Creek copper-gold deposit in northwestern British Columbia. The company spent C$853,074 ($828,668) to develop Schaft Creek in the quarter, but going forward will receive C$60 million ($58.27 million) toward the project from Teck (amm.com, July 16). Teck, which now owns 75 percent of the project, agreed to reimburse Copper Fox C$3.93 million ($3.81 million) for expenses related to land acquisition.
Vancouver-based Teck now handles all of the projects operations and is conducting an exploratory drilling program. It will be responsible for the environmental assessment application and environmental impact statement going forward, a Copper Fox spokesman said.
Schaft Creek is forecast to be an open-pit mine with a 21-year life and anticipated production of 4.88 billion pounds of copper, 4.21 million ounces of gold, 25.1 million ounces of silver and 214.92 million pounds of molybdenum, according to the company.