What to say...what to say
I'm meeting with some people this week ...they want to know more about the ring of fire....and in particular this company that calls itself the king of the ring....what should I tell them?
1) With regards to the current share price....which is still trending down....should they maybe wait until it hits a bottom? Should I explain that in the past the bottom is usually signalled by large low priced PP's and stock options. Should I explain also that they might have difficulty getting in on any PP, as these seem to be exclusive to the Dumlees of the world.
2) With regards to the current share price....why is it going down? Should I tell them about the most recent flow-through at $1.25, which basically priced the shares at .80 in explaining why we are where we are.
3) With regards to insider activity....if they ask why did the CEO sell a majority of his shares at .91? Should I try to convince them he needed the money to put his kids through school. They might think he sold because he knew that this was going lower? Well...it certainly is going lower. Perhaps we should wait to see if he gets back in as a signal?
4) With regards to other properties....should I talk at all about how they optioned off Windfall without announcing any assay results? Should I mention that there really are no other properties? I could maybe talk a bit about the one's they used to have?
5) With regards to eagle's nest, should I explain how the company is confident that the deposit extends to 2000 meters, but after spending millions trying to drill a deep hole, gave up and announced that there are no plans to continue with the deep drill program at this time.
6) With regards to drilling, should I explain that after drilling at AT-12 last year and not finding much...and experiencing difficulties there..... that they moved on to the deep drilling...... only to give up on that now.... to return to AT-12.
7) Should I mention about the potential in the area, where they recently drilled the most promising targets....only to come up empty...but that they now have some new technology to find more... most promising targets
8) Should I mention the potential with the chrome, how at first they said it was not worth much....then initiated a takeover of FWR, only to lose out to Cliffs.....and then later traded away a 50% stake in another strategic chrome deposit...the one in between the two owned by Cliffs....traded that for....ummmm some other property for which they have nothing, but it's close to eagle's nest. And should I also mention how they got some of the FWR shareholders to tender some shares to them with hopes of blue sky potential....back when the stock price was about $2.25
9) Should I mention the potential with the JJJ gold deposit...but that they haven't done any drilling there recently despite the $1,400 gold price...nor does there seem to be any plan that I'm aware of for future drill plans there
10) Should I mention the potential with the titanium/vanadium....where they drilled a couple holes about two years ago with no follow-up whatsoever....but it looks like they might be looking at that again now too
11) Should I discuss how remote the area is....how difficult it is to drill there....how difficult it will be to access by road or rail....how costly that will be...how costly it is now to fly in supplies...but that they want to focus 100% of their resources there.
12) Should I mention the blockade and how they still have nothing concrete done with respect to the natives...and that the government is involved...and in the event of another blockade...because they essentially have no other property...that they would once again be idle...while earning significant salaries
Or should I just get right to the point and talk about how I've followed this company for the past three years and I have no clue what they are doing half the time.....that since these guys have taken over, they have done nothing but destroy any value whatsoever in this company...this company that under different leadership once had a market cap of close to a $billion....and is now worth less than FWR's takeout price....is worth close to the $125 million market cap for the 16.5% interest that SPQ had in just the big daddy deposit
What to say..
January 24, 2011 Thank-you Larry
It was my pleasure...
...to talk to Wes at the Vancouver show this morning. He did discuss the plan to drill some more holes at the Thunderbird titaniferous magnetite, as was reported here by others. I think that's prudent, given the attention that vanadium is attracting (vanadium is a minor constituent of the deposit).
I also learned that AT-12 is being surveyed using a new geophysical method, rather than the SQUID survey that had been planned last year, which was disrupted by the blockade. Based on that new information, there will likely be a significant drill program, which must be completed during the winter drill season.
I hereby cross my fingers, that Winter holds tight her grasp on the James Bay Lowlands for an extended period this year, so that we have the longest possible drilling period before the spring melt.
I did express my concern that the decision to engage Diagnos to reinterpret the existing geophysical database might indicate that the work done by Golder had not paid off. He did acknowledge that the recent regional drill results had not demonstrated good returns, but he also said that it's inappropriate to assume that one group of thinkers, no matter how qualified, are going to get all there is to be had from a set of data. And I have to agree. Showing that same dataset to a new set of thinkers, with new assumptions, new filters, new perspectives, is the reasonable thing to do. The data won't change, but the implications certainly could change.
I'm hard-pressed to find another company whose share price is more undervalued that is Noront's. I don't care if it's a government infrastructure investment announcement that moves this SP, it's still extremely undervalued. But even at this stage, we're still one hole from being a market darling once more. If the drills are turning....
Lar
January 23, 2011
My NOT friends,
The latest news release had me curious about certain hole results from the exploration drilling, so I took a gamble and called the office late Thursday to see if I could get some answers. Was pleased to get put right through. I had a chance to speak with Wes
for less than ten minutes and was grateful to get the chance. Being away the last 2 days and
unable to sit down to post this until now... is my summary of Q&A.
"Great Looking Targets" a phrase repeated to me three times.
Our discussion mainly centered around the recent results and the exploration program. The "Road" issue and "Mine of the future plans".
The main reason that prompted me to call was the results that were given to us for the southwestern-most drill holes. 190, 193 & 197. Two of which had no significant results and one (hole 190) that showed only .66 g/t gold. No associated minerals like copper that are usually found with intrusive related gold or any other sulphides reported in this hole for that matter. What type of host rock? What could be prompting them to head right back to drilling this area. A new gold zone??? No significant results in the other holes......... really?
My question -
With these results why are we starting the winter drill program at the Western complex around AT8? I had reminded him that when we last spoke he alluded my question made pointedly about AT8 and targets to the sothwest. I expected nothing less than the typical explorco CEO response, for which I settled on:
"Great looking targets" - identified intrusive zone - new knowledge from down hole geo.
Why the need for 3-5 holes at Thunderbird?
"Large identified drill target will help compile data to further understand the T-Bird deposit" Starting with drill hole to West and then to the Northern most extension.
How many drills this winter?
2 drills for the entire Winter program.
Did he feel any more confident in the provincial government building him the permanent road from Pickle Lake to Webequie since the last time we had spoken?
"There are many stakeholders in the ROF that could benefit but mostly for the First Nations..... and we remain optimistic."
Noront seems to be taking a new appoach with hiring Penguin (mining robotics) and Diagnos (artificial intelligence)?
" We plan to use technology to build a world-class mine at Eagle's Nest, one that is safe, environmentally friendly, and above all, a model for new mining methods in Canada."
How will the drill budget be spent for the winter?
Half the costs will be incurred at AT12, other split on regional "great looking targets" and proximal to the Eagles Nest Complex.
Noront needs approx. 80km of transmission line from Webequie to the Eagles to get things started. Is this something that is being prepared for the feasabilty and would this study be out in the near term?
" Of course..Still in the early stages and completion is a ways off yet."
I was happy to end the call with an invite to call again. He stated that he is "accesible" contrary to what people might be saying about him...... among other things.
Things seem to be developing quite nicely on all fronts and as many on here suspect, the provincial government can really kick start things with a 300km road (450M $$). Until then we aren't "under the radar"...... the radar is OFF.... but it won't be long folks.
Springtime could produce a few new Canadian millionaires this year..........a few on this board positioned to benefit.
Is it anymore comforting to know that some day robots will be busy mining PGE's under the JBL.........until the day they form a
union....that will really mess up the SP!!! LOL :)
Best to all,
mynot
