UPDATE: Desjardins Capital Markets Downgrades Thompson Creek Metals to Hold
Desjardins Capital Markets reduced its rating on Thompson Creek Metals (NYSE: TC) from Buy to Hold with an above-average risk.
Desjardins Capital Markets commented, "The suspension of the waste pre-stripping program materially changes the operating risk associated with Thompson Creek's largest mining operation. The risk of the mine remaining a ‘going concern' should increase with time over the next two years in the absence of a significant improvement in market conditions for molybdenum. Ultimately, the deferral of waste removal will limit access to ore and production of molybdenum. This risk did not exist prior to yesterday's announced suspension of the pre-stripping program."
Thompson Creek Metals closed at $2.64 on Wednesday.
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