Windfall used to be assumed to impart a share value of $1 to Noront but that was based on a speculative belief Noront would with the underground ramp finally prove up considerable gold reserves. Lots of surface drilling and findings to indicate numerous rich zones but not a good handle on size.
Well folks the market forces took a write down off speculative value for all resource companies. At this time a rough guess is that the Market puts a value of maybe 40 cents on Windfall and $1.40 on ROF properties.
Using above, guess, then Windfall right now is valued at 52 Million market cap and ROF properties 182 Million market cap.
Noront with a lot of geologist input spent, rough guess, over $20 million getting Winfall to were it is today. No company the size of Noront lays out that kind of money on a whim. We could be a few months away from coming up with preliminary numbers for zone resources (Unless they just say the hell with it and pull out/mill the darn stuff and say 'there, told you so'). I may not like it but until Noront pulls out actual gold OR releases some rough inferred resource report we might not see much movement in value as expressed in market cap.
ROF properties and jv's are extremely hard to put a fair market cap valuation on because the speculative value a normal market would assign (which should be huge) seems completely missing. $1.40 per share represents a uber conservative, written down, valuation only on 'proven resources'. Doesn't seem to be any value for chromium at all, or claim base, or jv's or management expertise OR the plain fact that some Majors would get into a fist fight if they thought they could buy out Noront for $4 (Not saying they could just that a reasonable marke should factor in that AT THIS TIME a major would likely pay all cash to grab the assets).
Like most of us my personal expectations for Noront Market Cap in not too distant future is more the $10+ range than $5+ range but all of us agree that current price is best bargain we're ever likely to see.
A year ago I felt $10 was a stretch but not now and even if I'm way overboard an investor saying $5 is more likely has to look at more than doubling their money within a year.
Disclaimer: As most guess I've been buying steadily below $5 and double what started as a pretty large holding. Do your own analysis of risk vs reward and hope to see everyone happy in the short and long term.
