RE:NOU NI43-101You known what the NI43-101 actually state: the project is sufficiently robust to warrant moving it to the mine development phase.
Obviously It also mentioned the risks involve. It is part of the job of Met-Chem to state all the possible risks associated with a project. No matter how small the risk is, they have to mention it. So the list might seem a little big if you are not familiar with the junior mining sector.1
After the risks analyse comes the recommendations. If The compagny gets all the work done in the next NI43-101 we gonna read that NMG has done what was needed to derisk the project. Its the way a compagny pay her dues in this game.
There is a copy and paste of the Highlights:
Market NMG is developing a natural graphite Project which will have competitive advantages due to its privileged location, cost structure and experienced team. A demonstration plant (see Press Release dated September 18th, 2018) located near the mine site has been constructed to allow NMG to have an earlier debut in the market and de-risk the first years of sales. One of the goals of this demonstration plant is to secure medium to long term supply agreements with different customers.
1.16.6 Economic Analysis This Report shows that the Project is technically feasible as well as economically viable. Based on a 26-year production period and assuming 100 % equity financing, the IRR is 40.6 % before taxes and 32.2 % after taxes. The authors of this Report consider that the Project is sufficiently robust to warrant moving it to the mine development phase.
1.16.7 Risk Evaluation There are a number of risks and uncertainties identifiable to any new project and usually cover the mineralization, process, financial, environment and permitting aspects. This Project is no different and an evaluation of the possible risks was undertaken which is summarized in this Section.