RE: As usual, There is not a lot on the ask here to
.08... I think this is extremely undervalued. It doesn't take a lot of money to fence this off every 1 to 2 kilometers. It's big, its high grading and at the point where could very easily demonstrate a large and high grading resource. In addition they have a 4km long DSO anomaly which would increase the payback of this project shipping DSO while construction of facilities.
Plan Nord will be finalized over the next few years and this project should be the centerpiece of plan Nord not an afterthought. A port at somewhere in Ungaava makes a lot sense. FEO needs it, for Zone it would make Girard that much better being closer to tidewater than most of the projects in the Trough. It would also make sense for Lac Otelnuk instead of shipping down to Sept Iles. The inuit want the economic expansion and the jobs but no roads to the shouth a rail line from Ungaava to Lac Otelnuk would be cheapest and spend the dollars on the port. There is not much sea ice out of Ungaava like Hudson Bay either. NML is looking at a slurry pipeline anyway so there is not much need to build rail past Schefferville if you look at a line from Lac Otelnuk to Ungaava. How many kilometers of savings of rail would you have?
Put the dollars into a top notch port in Ungaava.
Zone is sitting on the biggest and best anywhere in the Trough and has been intriguing in the past but too remote ever to develop. That remoteness disappears very quickly with a port and rail line to Ungaava. I jsut look at things from a common sense point of view and it seems that when logistics and costs are huge in this industry when you are shipping is huge. A 4-6 percent difference in grade is also huge when you are dealing with >5Bt projects. You want a project that will survive the worst of times and trhive in the best of times and simply put... A port in Ungaava makes Girard the crowning jewel of the entire Labrador Trough.
Anyone selling at these prices just doesn't understand.
This company has something that everyone ignored b/c of remoteness. If you consider remoteness to civilization then yes... remoteness to tidewater... NO.
With Plan Nord and the Inuit wanting ecnomic development... this project has the potential to be the centerpiece. This is iron ore exploration, it is as low risk as it comes. The anomaly once tested is pretty mcuha slam dunk in explroation as it get. 1km to 2km holes 100 meters to 200 meters deep. 10 to 15 holes approximately $300k to $600k in drilling demonstrates this is a worthy development project.
Anyone in the mining industry ignoring this project is nuts. If the market wants an iron ore guy, then we will get one. You cannot ignore this project. You want one that doesn't go out of business when iron dips below $100/tonne...? the difference in 36% and 29% is massive. The difference between 200km rail line and 1000km+ is well... 5 times the cost in shipping. Then you have to deal with an overcrowded Sept Iles.
Come on people. Common sense and logic should lead you to the same conclusions I have come to here.