You read the below..and it makes you think.
Cliff Investors overly bullish about Bloom Lake ...but the firm thinks it could be difficult to find a new partner on reasonable terms... for this 1.25 billion.
Morgan Stanely thinks a decision about Bloom lake could come before Q4 earnings on Feb.13.
If you've got problems coming up with 1.25 billion...how about more billions for the chromite smelter?...and what about the EA that Cliffs halted?
I've got an idea...sell the Rof claims...to someone...and use the money for Bloom Lake..since your investors are bullish on it...forget the partner for Bloom with their unreasonable terms.. and use your Rof money for the sold claims. Report this on Feb.13.. and have shareholders cheering.
http://seekingalpha.com/news/1522811-investors-may-be-too-optimistic-over-cliffs-bloom-lake-outcome-stanley-says
- Cliffs Natural Resources (CLF -3.2%) is looking into whether its Bloom Lake project makes sense in the current environment, and Morgan Stanley believes a decision could come when CLF reports its Q4 earnings on Feb. 13.
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The firm surveyed investors to get a sense of the consensus opinion around Bloom Lake and found it perhaps overly bullish; most investors expect CLF to find a new partner for the remaining ~$1.25B needed to complete Phase II, but the firm thinks it could be difficult to find a new partner on reasonable terms.
- The firm also forecasts higher shipping costs, so it lowers its price target on CLF to $12 from $14 while maintaining its Underweight rating.
- The latest report indicating a cooling Chinese economy is weighing on CLF and other global base-metal miners: RIO -0.8%, BHP -1.2%, VALE -2.3%.
