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: Re: Take A Deep Breath/spoke to Paul Semple tis am
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Sep 07, 2012 12:06PM
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Sep 07, 2012 12:13PM
Contrary to recently posted cartoons I have found Paul and NOT to be approachable and very much men of high integrity. This morning I asked FS followip questions re the updated FS submission. In no particular order; and point form, here are some answers. 1. There were no surprises in the update. The first report had costs/T at $75-80/T, latest was $97/T, but former# didn't include transport, latter does. 2. Pre-permits for construction activity for 2012 winter start have been assumed in the FS. Great confidence in this assumption by Paul but he can't put words into an ON govt mouth.. (this would confirm all mine build targets in the FS); ( "three winters to mine"/- from a previous conversation). 3. No mining revenues are built into the FS for the 3 year construction period. (ie no Cr $, per Khareemas' recent sept 5 post. This despite "initial mine production from an internal ramp". Paul did say that the ramp waiste material was very valuable, and a signifant cost reduction factor in th FS. 4. There will be subsurface drilling during the ramp build timeframe, but not "deep drilling targets" . No additions resource additions are needed for financing. Future tonnage increases are being assumed by chosen financial entities , but not required for mine to be built. The drilling targets are to confirm location/extent of already known 2013 targets and "pleasant surprises are a bonus." 5. Avoiding any further share is a company goal, and a very high priority. ( no problem with financing; timelines announced are very solid). my comment: I have found that all pronouncements by Paul in the past two years to be extremely accurate. Government participation annoucements are just a matter of time. Maurice Strong this am on BNN stated that the current and newly head of China politburo said CHN would be building 500 NEW cities of pop.> 1m. Strong's private company is part of the CHN committee making the location of these new cities. He knows. These cities MUST be built to relieve pressures (social; environmental) . That's a lot of steel. It's a matter of time, and I can wait because NOT execs know what they're doing. Peter
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