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: Just a quick note regarding Chromium and Noront...

crazytrade, I don't think there will be room for more than one chromite mine and one ferro-chrome producer. There is enough chromite ore around in the world and it is limited demand. If you try to flood the market, the prices drop and any new producer with all the recent capital expenditures will most likely be the first to fall.

I think NOT has the upper hand simply because of the nickel. I doubt very much on chrome alone to sustain all the required development and associated costs. As long as NOT controlls the nickel and finds enough for economic development, NOT will IMO be in the driver seat for whatever takes place in the ROF.

An open-pit chromite mine alone in the ROF does not provide enough jobs and other benefits to that region for the governments to provide heavy financial support. A nickel mine plus mill provide many more jobs and in addition to a chromite mine there should be great insentives for governments support and approvals.

Per tonnes of material shipped out of the ROF, a nickel concentrate will have a value roughly 10 times that of any chromite ore so the big advantage is lower relative shipping costs.

I don't think NOT will be left out in the cold, definetely not.

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