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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Message: Logic or way out in left field?

Currently. NOT has nothing to sell CLF nor does CLF have any reason to sink a lot of $$ into NOT to be a minor holder. For a small investment, CLF in fact got a significant toehold in two of NOT's exploration competitors which assures CLF a seat at the table if if anything majorly productive emerges at RoF . They obviously felt that assured seat was worth the cost, meaning they expect some combination of these outfits to likely come up with a major economic resource. So far, NOT shows no more promise on a "per dollar of market cap basis" than the two CLF investees. Meanwhile, our BoD knows they have no leverage with CLF, and that CLF is not a speculative buyer of exploration companies. So further investment by CLF will only occur where drill results warrant it. That is not NOT yet. What in fact will drive NOT sp forward from here therefore is significant Cr drill finds, because the CLF strategy will be confirmed. Anyone who tells you NOT is dead without high grade Ni is seriously pulling your leg. CLF did not put its hat in the ring to go head to head with a VALE or anyone else over an Ni resource. As superb as it would be for NOT to find major economic anything, the entire RoF cap rings in at something under $200 million, and CLF is skating straight toward the net. All other things equal, this is great for NOT, the major landholder, while CLF wedges itself onto the world stage if anyone does. All very positive at this juncture although the time frames may be significant. The institutional market clearly likes what CLF is doing somehow.

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