RE:RE:RE:For those that may not be clear about CNZ's profit systemHow can you consider the MJ, agriculture feed, poultry, hog, and everything else the NRs have stated they are "currently" providing Zeolite to as a "niche" industry.
Are you kidding Pbay??? Seriously? I consider this a niche industry,,,, using Zeolite in dentistry.... yes Dentistry.... now that's a niche industry.... but if you are trying to tell me that "agriculture" and "growing fruits, animal feed, veggies and weed" which by the way has proven results is niche... sorry but that is pure nonsense.
Yes the market... which is indivuals on a massive scale and institutions that are "the market" and when you have only 25M shares non diluted the SP is unfortunatly easily manipulated like all "new to market" companies...
Just a question of time before CNZ gets a majority of long term share holders...
I personally think CNZ SP is low and a bargain right now... if people really really thought CNZ didn't have potential and value, it would have dropped back to .30 in no time... but here we are hovering around .60s and frankly I'm very OK with this...
For those holding the bag, hang on there and have patience with CNZ as they are executing as all successful businesses have done.
cheers
thepbay wrote: Canucope
I agree with your thread. Problem is, the market is not that forward thinking. Right now, based on what we know, this is WAY overpriced. Looking at the wording and some of the numbers, there isn't much to latch on too, that is forsure. It actually is really confusing and gives you the run around. They need contracts and quotas, right now, ppl are saying, well the 50K ton permit will bring this as revenues. Means jack squat!!! That is your problem. They had a stockpile, yet I don't see anything in sales.
The "market" is tough, as it is little niche markets that CNZ is chasing. This will take time. All this talk about "could" "would" "if", is just that TALK and HYPE. I have seen this many many times with DART and crew. So be careful! GL
pbay
Canucope wrote: For those that have been reading these boards lately, this posting is the real potential details regarding what CNZ can do if they meet the maximum 50,000 ton limit which as stated can be extended beyond the 50,000.
The 50,000 limit is easily attainable from just a select few markets, and yes it requires contrats and a sales team to sell the stuff which we now have and as the NRs release CNZ is doing exactly that, getting contrats and distribution chains established. But as we know, Zeolite is somewhat new to NA and if CNZ Pursues the existing end users who currently import from the USA, atleast they can have a majority market in "Canada" and tackle other Countries IE USA and South America.
Zeolite is not a world wide mineral, and has evolved in a selected few environments hundreds of thousand years ago... BC due to volcanic activity has the "right" kind of properties to be even considered as a feed additive... don't forget, not all Zeolite is considered to be even close in the category as CNZ's Zeolite.
Don't listen to the bashers as all they want to do is flip the stock and get it as cheap as possible to make a quick buck...
Zeolite market in Canada is CNZ's as they are the only one to have actual mining permit and gouvernment approval from the Canadian Inspection Food Agency.
Let me repeat that... "the only one" Zeolite feed Additive in Canada.
and to boot, the US have approved CNZ's Zeolite with a "Organic" stamp of approval.
People, really think of the royalty potential and what it really means down the road in the years to come...visualize the potential as there are some on this board that just want to cloud your judgement.
All my opinion, and cheers to a happy weekend.
naimarantz wrote:
dont be thrown by those that pretend to not understand the deal. This is a pure profit play. CNZ has a permitted and operating quarry with about 11,000 tons of Zeolite sitting in a pile ready for trucking. They have a nice deal with Absorbent Products Limited (APL) in Kamloops. APL goes to the quarry does the blasting, piles it and loads the Zeolite into their trucks. They ship it to their plant in Kamloops where it is processed, packaged and shipped to the customers. APL covers all these expenses. In return CNZ doesn't spend a dime and APL pays CNZ $9 per ton royalty plus 6% - 20% of gross sales which depends on the level of processing. APL has a well established plant and fleet of trucks and is a highly respected business in Kamloops. So at the end of the day CNZ sits back and collects pure profits with no equipment, mining, processing or shipping costs. Pretty simple. If CNZ sells 40,000 tons a year at $9 plus an average commission of 12% (assuming $350 per ton ) that would be a total of $52 a ton or $2.1m and with an annual burn rate of $.2m there is $1.9m pure profit divided by 25m shares = .13 per share times a 15x forward earnings =$1.95 per share. Another thing to consider is CNZ can expand the 50k ton annual quarry amount as necessary. Additionally you can see by the various sized product packages on CNZ's website they are selling 20kg bags and .45kg bags. These processed bags are fetching a far higher price than selling by the bulk ton alone and CNZ gets around 18% gross commission on these plus this commission is based on the higher gross price per total ton of packages processed this way. So the overall price per ton would be about double in these packages and the 18% on top of that with the $9 royalty and well ....... its time for you figure it out.