Excellent question Keithmctavish, to answer your question - Sorry I have had health issues to deal with hence my infrequent posting I put this thread back on as it has more FA for newbies
Let's see what we really have here - Referring back to LST123 calc's - the In ground value = $1,144,000,000 for 10mt @ 1.3%
Now general rule of thumb for IGV is around 4% of it's extracted value So that equals $45m 45,000,000 divided by 242,000,000 shares = 18.5c s/p Being currently undervalued is a huge understatement I put this down to the board being a non hyped / non flamboyant / down to earth style of reporting Some investors don't like this as they are attracted to large hype, others realize this is not relevant in the long term scheme of things with company direction
That being said, I will point out some very important fundamental aspects of what lies here The huge beneficial factors are the tenements are in the desert, meaning there isn't any inclement weather conditions like cyclone's, tornadoes, monsoon rain, snow, difficult mountainous access etc Also labor costs to extract will be a fraction of a western country
Another factor is that their most recent raise was done on a very minimal scale BECAUSE the board realizes that dilution is the enemy of shareholder returns. So it tells me that they anticipate the next raise will be a bigger amount at a rather larger price point. Let's not forget that when SFR done the takeover of MOD on the same belt, they purchased about 40mt of proven ore for $160m, this was when the Cu price was about half of today. NRX will easily have this amount on their huge parcel of pegged tenements, it only needs the time to prove it, in fact I wouldn't be surprised that they get to 100mt and above meaning that this company will one day be worth alot.
There is TA resistance along the way which is normal but as I stated before it looks like around 8c & 15c mark is where the resistance will be but don't hold me on the as it's not my field. They might not come up with major headline high grade cores, but will come up trumps with adding to the tonnage where it all counts. A reminder that they have only covered about 3% of the entire tenements, @ 5600sqkm with a stated 300km strike, they have a immense scale to try and cover. I think alot of people who over looked this play will be taken by surprise by the next ann that comes out.
They don't have to be producers or developers but just to prove a resource that's worth Billion's alone will put this on a plate for a Takeover target. I understand lots of unanswered anticipation from holders but let them do what they are good at as they are no amateurs at the wheel. All board own some shares but JT took his holdings to 15% of the company, as if that's not saying anything..... Downside maybe 10% versus upside of a few 100% GLTA
NRX Price at posting:
2.7¢ Sentiment: Buy Disclosure: Held
