Sell Ashram into the hype could trigger share price Cad1,2
Sale of Ashram in this Hype could have a target price of Cad1,2 Stephan Bogner in The Gold Report on CCE (12/16/13) Zimtu's management is also behind Commerce Resources Corp., a development company with two rare earth element (REE) deposits in Canada. I am very optimistic about REEs. Commerce has two projects, the Ashram REE project and the Blue River Tantalum and Niobium project. The Ashram REE project is remarkable for 1) its vast resource, 2) its high grades, 3) its unique distribution with competitive grades of the most sought-after elements neodymium, europium, dysprosium, yttrium and terbium, and above all, 4) it is host to the three minerals that completely dominate current commercial production worldwide: Bastnaesite, Monazite and Xenotyme. All first three (very positive) points are subordinated to the fourth and most important point - that only these three minerals are actually commercially processed. The capex for Ashram is CA$763M, so it needs to find a strategic partner. This is just a matter of time, because I believe the REE market will soon escalate... I am sure that this will bring in a strategic partner, probably from Asia. The Blue River tantalum and niobium project is the world's largest production scenario, Cash Positive, for tantalum. The investment in Upper Fir is only CA$379 million and Commerce has increased the resource by over 30% and the recovery rate by 15% over the past six months compared to the amounts used as the basis for the completed preliminary economic evaluation. https://www.theaureport.com/pub/na/miners-should-launch-a-gold-cartel-or-risk-losing-everything-advocates-stephan-bogner Old John Kaiser evaluation of Eldor (ca.2011) Kaiser seems to believe the Eldor project to be similar. His analysis of August 20 of this year with reference to the first rare earths results in Eldor makes us sit up and take notice: "Should the coming drillings deliver similar or even better contents, the tonnage for this project will be in the range of hundreds of millions of tonnes. Kaiser has also taken the trouble to analyse and evaluate the nature of the deposit. According to current FOB prices, the tonne of rock from the Eldor Rare Earth Project would be worth more than USD 700. Even if this value were to be halved in the long run, an open-cast mining project would probably be realistic, Kaiser concluded. https://www.de.sharewise.com/aktien/CA2006971006-commerce-resources/analyse/2010091917492801/Kursziel_0_Euro_Seltenen+Erden+Fonds+Fonds 250M tons Ashram a $350 equals $87.500.000.000.000.000,-) Then as now the REE prices are rising! Maybe this time Commerce sells his Ashram to the Chinese for US$300M, that's the Capex of Blue River's Upper Fir, which could be self-financed immediately and so a MC of Cad400M corresponds to a price of Cad1,20,-)...JMHO