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: Valuation

Do we need another nickel resource to estimate?

I guesstimate the nickel property at somewhere near 700 million dollars, and that is in today's economy. Not so long ago in another universe we were valuing it with much lower known resource, at three times more ( I have a vague memory of a number like 2.1 billion $).

I give a bit of a premium value on the nickel ore because it is rich. In other words, it is not fair to compare it to most nickel ores of the world.

We are devalued not only for the previously mentioned major reasons; natives, management and lack of infrastructure, but also our chromite is devalued because when and if Cliffs comes on stream our chromite ore will have a hard time to see daylight because the north American market will be saturated and we would be a smaller player in a world market.

Similarly for our great land hold. Nice to have but it is a potential and until demonstrated to have someting it can not be banked on, therefore of little value in a short sighted and impatient market.

That is my 2 cents worth, if that. Cheers.

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