Woulfe Mining Corp WFEMF

RE: Financing

[sesses3]

I would expect  financing will come sometime after the pre-feasibility study. Once that's done, Woulfe will have some hard numbers to show to those interested in financing the project. I would expect a deal to be announced before the feasibility study, but closing after it (to get final confirmation of construction cost).

This is only my guess, though, and it's possible that something happens before then. At current tungsten prices Woulfe might even be able to finance the project on their own, though I'd prefer for them to stay with Korea Zinc. I do wish Woulfe would be a bit clearer on what Korea Zinc's exclusivity rights entail, as Woulfe likely aren't free to just accept any superior offer.

That apart, these drill results seem fine to me, and are likely good enough to make the economics in the pre-feasibility study work. Given that the vast majority of the resource is still inferred, the economics won't be spectacular, but all they need to do for now is to demonstrate quick payback to get financing - they can always prove up more of the resource later on.

The largest advantage of the project, at least for me, is that it can likely be brought into production quicker than any of the other major tungsten projects currently around. Given how large some of these projects are - Sangdong alone can potentially supply 15% of current world demand, and there are some other projects with similar production goals - I doubt there's going to be room for all of them. Hence it becomes imperative to get to production quickly, and Woulfe seems to have a definite advantage in this respect.