The Fortunate Ones............are the ones who are just beginning to establish their investment positions in NFG and its symbiotic investment company, (PALI) at these levels, which have been significantly lowered by the Short position, small as it is.
The gold mining and exploration industry experts in the know about NFG all seem to be very confident that the Queensway project (650 square miles aprx, and two fault lines , each with gold in soil significant showings along each of their 100+ kilometer lengths) will be being mined for decades into the future.
NFG appears to be a very long term investment that a family can hold for many years. That appears to be Erich Sprott's viewpoint......Although NFG has done extremely extensive drilling to date on just a small fraction of the Queensway project ( on the extreme north of the project, called North Queensway - NQW ), it will take years and years to explore all of Queensway, and simultaneously developed mining operations.
My hope is that they begin production on NQW ASAP. However, NFG may be waiting to partner with, or sell out a substantial % of Queensway to a BIG GOLD firm.....but, unlike Great Bear (the Ceo of the buying company indicated this view in a recent intrrview), which apparently was bought out for a cheap price, Erich Sprott and Collin Kettel, who effectively control NFG, won't allow a cheap sale.....Why?......because they won't need to.
Gold appears to be on a fundamental uptrend that may well last years. NFG has already showed about the highest grade of consistent and significantly sized drilling results of any gold exploration outfit in Canada, if not worldwide.
And, of course, QW couldn't be in a more favorable location or political jurisdiction. Newfoundland has a fairly temperate climate ( unlike the Yukon or Northwest Territories), and the NQW drilling is within eyesite of the Trans Canadian Highway, while the rest of QW is crisscrossed with logging roads. And, of course, Canada, and particularly Newfoundland is considered one of the safest political jurisdictions in the world.
So, why has the share price of NFG languished, and is now hovering at the lowest levels its been at ever since begining its long and successful drilling program of well over 1/2 million meters of drilling?
Partially, it seems to be due to the languishing sector of the gold mining stocks, and particularly the gold exploration stocks, which have no production, no revenue, low trading volume, and are easily manipulated by what has long been realized as a denial niche investment industry.........a sub industry of small investment players who SHORT and manipulate generally low volume gold exploration stocks.
I'll post more on this subject later, as it is a complex subject. However, the entire gold investment sub industry, as well as a number of keen general investment strategists believe that the entire gold stock sector is extremely undervalued, and the fundamentals are pointing to gold as an investment sector, to become a top favored 'flight to safety' or 'safe haven' investment.