OTCPK:NOXOF - Post by User
Post by
Ricky55on May 28, 2013 5:09pm
195 Views
Post# 21484261
It's confirmed now,time to buy!
It's confirmed now,time to buy! Here is a small article coming from Louis James,Casey research
Subject: Casey Research update on NioGold
For me ,it's sound great! But i hope his strong buy at $0.10 never come.....................
C
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NioGold Mining Corp.
Hm: Au
V.NOX, NOXGF.OB, www.niogold.com
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Price
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Share: C$0.16
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MCap: C$17.1M
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On: 5/23/13
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History
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Rec: C$0.345, 2/25/11
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Loss: 53.6%
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52-week: C$0.12-C$0.50
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Shares
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SO: 106.8 million
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FD: 115.7 million
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As of: 4/2013
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Warrants
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Nil
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Options
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Open: 8.9 million
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C$0.20-C$0.43
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Exp: 8/2013-9/2017
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Cash
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C$6 million working capital
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Burn: C$400K/mo
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As of: 4/2013
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BUY FIRST TRANCHE NioGold is relatively well cashed up, among our early-stage explorers, and delivered some very solid drill results in early April, from the Marban block, including 4.47 g/t gold over 3.4 meters and 15.41 g/t gold over 2.8 meters. There's been no change in the JV arrangement with Aurizon yet (which is being taken over by Hecla, HL), so they are still paying for the work. We see this as a win-win, whatever the new owners decide to do: give it back 100%, or keep paying for the work to earn their first 50% of the project.
Given that the company has plenty of cash, other lottery tickets (projects) in the drum, a major partner paying for the work on its flagship, and is selling cheaper than it has in years, we'd buy a first tranche or average down if we were in at higher prices.
T1: Buy
T2: Buy if in at higher prices, or shoot for $0.14.
Srong Buy: $0.10 or less.
Louis James
Chief Metals & Mining Investment Strategist
Casey Research