NORTHERN SUN MINING CORP LBEFF

Wish and a prayer

[rocksolid47]

The fact that no one else would lend them any money except JJ gave them the hammer. They dictated terms and got them including a hefty interest rate. I think they can see down the road far enough to understand this venture is unlikely to make it. They protected themselves against that very real possibility. Good for them; that is what I would do.

 

No one wants to look at this thru Jilin Jien’s eyes, which is the Kool-aid drinker’s main problem. True 49% of a company is better than 0%, but when LBE defaults on some or all the debt in May 2011, more debt will be converted to equity. At that time I guess 20% (or less) is still better than 0%...but only just.

 

LBE has to produce a lot of Nickel and credits in the next 3 quarters. I don’t think they will make any sizeable dent in that debt. Most people don’t.

 

What I hear is a wish and a prayer.

 

Rocksolid

 

[victor2009]

Rockbottom,So given your great track record at assessing companies and forecasting their prospects, are you suggesting that your take on LBE's future has any credibility?If your forecasting is so great, how did you come up with the $64.40 share value for ISM in 2007? Or the billion ounce estimate for the Micon report?And if you're such a whiz on what stocks have potential, why are you

[rocksolid47]

Millright aka Victor And your predictions have been what when compared to how poor LBE has done? Yeah you’re a real financial analyst for sure. There was potential with LBE properties but it was squandered by a business plan that never made sense. Didn’t a bunch of people tell you that? By the time you get the Chinese paid off there won’t be much in the way of ore left; that is if the

[victor2009]

Rockbottom,And what have my LBE predictions been? That I considered the risk/reward on LBE worthy of investment. I didn't come out with some pie in the sky numbers of $64.40 in 2007, as you did on ISM. And I didn't hype world class "Voise" Bay deposits of millions of ounces like you did.The LBE business plan has been to become a mid tier producer. LBE has had less time to

[legend7]

Rocky, I think the problem lies with you think people actually value your opinion?? Crazy. You have proven in the past that you do not know what you are talking about and only have a bone to grind with LBE so why would anyone listen to what you have to say?LBE is definately growing and making progress I understand that you don't think they will pay down the debt but then you thought ISM would

[rocksolid47]

No one is arguing about the mines or this “so called” state of the art mill. It’s all about economics; nothing else matters! The mines & mill have not proven economic viability unless you take out all the costs associated with bringing them into production & debt servicing. To say otherwise is just plain dumb.It’s akin to saying my operating costs on a vehicle are 25 cents per mile but not

[victor2009]

Rockbottom,So you're suggesting that when SRK said Hart (for example) was economically viable, with projected $87.5 pre-tax cash flow they didn't take into account everything they should have? What on earth are you babbling about? Are you suggesting that your "economics" indicates that $87.5 isn't enough cash flow to cover interest and income tax? You better get a

[rocksolid47]

That’s pretty lame attempt at a straw man argument.Presently LBE operations are “not economic”. If you want to make cogent point, tell us mere mortals what the debt repayment schedule looks like. There are only 8 months remaining before all that convertible debt kicks in. Oh wait, are you going to tell us the Chinese won’t exercise the terms of the debt issuance? Oh and what about those millions