The Proxy Vote

HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)

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Stratopod

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The Proxy Vote

posted on Dec 07, 2008 11:02PM

Without question, the efforts by Glorieux and a number of other posters, to get the message out to the shareholders, during the proxy vote, was nothing short of spectacular.

So spectacular in fact, that it woke up the sleeping giant. The institutional investors were clearly shaken by the monumental efforts of this board and outside it, who are the retail shareholders of Noront.

When the institutional investors (Rosseau, Sprott, Pinetree...) didn't get what they expected, they had to shift their plans to achieve the objective. Which, of course, was to get control. And how do you do that ? Well, start by announcing a PP. Then, take about two weeks to fill it, while the potential investors for the PP load up on cheap shares. When they have enough, the PP gets filled (note how quickly the new percentages were put up on NOT's website, after the PP closed).

Great plan, but the major reason that it's working is due to the market conditions. And so, these institutional investors are taking advantage of an opportunity. Us retail shareholders have the option of doing the same, but unfortunately, we cannot compete with the big money guys. All that we can do is to continue buying, with the hope that one day, one of these institutional types, will sell or be forced to sell their shares, at which point, our percentages would rise again to competitive levels.

And so, retail still has a hammer, it's just a little smaller, that's all. But it still carries a mighty whack, so the big money should never let their guard down for a moment. They should be aware that many longs are still buying and many others are averaging down.

I'm basing the following on the fact that 25M shares were added, with the PP. With that in mind, if my calculations are correct, NOT has been diluted by 19.38% (25M divided by 129M). So, if you own 10K shares, you now need to own 11,938 shares, to be in the same percentages as you were, before the PP.

I have increased my own holdings and more, to offset this PP and will continue to buy, as my belief in NOT, remains unchanged.

And Windfall will give us something to cheer about, in 2009. In the words of Hard Rock, "Dat's just da way I see dat !".