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Northern Freegold Resources Ltd. V.NFR

"Northern Freegold Resources Ltd is engaged in the exploration for mineral resources in the Yukon Territory, Canada and Arizona, USA."


TSXV:NFR - Post by User

Comment by JimPharneyon Feb 20, 2013 2:12pm
217 Views
Post# 21017725

RE: Poor economics? Negative "real" NPV?

RE: Poor economics? Negative "real" NPV?

My initial reaction is pretty positive. I was caught off guard when you said they used $18 for moly. I had to go back and look again. They actually used $14 which is already lower than the 3 year trailing average. Moly dropped off the cliff when the global economy stalled. If you believe that China will continue to build then I think we can expect moly to recover. In any case, given that moly represents only 17% of the revenue the real difference between spot at $11.80 and $14 is about 2.5 % of revenue.

Need to look some more at the rest but as above, my initial reaction is positive so far

 

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