could be a good sentiment play, however takes a very bullish...

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redsceptre

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05/02/18

07:32

Post #: 30813262
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Originally posted by hashtagwinning ↑

Wrong, I did sell half my NCZ, but moved it into IBG.

RVR has had majority of its run, more upside to be had with IBG. Patersons covering & released below research note;

We are initiating coverage of Ironbark Zinc Limited (IBG) with a Speculative Buy rating and $0.35/sh price target. (based on $1.20 pound zinc price, 500% upside, trading $0.07/sh)

IBG is focussed on developing its fully permitted Citronen Fjord Zinc project (100%) (Citronen) located in northern Greenland.

The project is a globally significant zinc project with a contemplated 14-year mine life and peak production rate of c.200,000tpa of zinc metal. In addition, the deposit has outstanding exploration upside.

Based on our price forecasts, we estimate the project generates >US$150mpa in free-cash generation with a payback period of c.2.5 years.

We believe that the current supportive zinc pricing environment should allow the project to be financed and move towards construction potentially in 2018.

IBG has a supportive shareholder base with Nyrstar and Glencore on the register as top two share holders. In addition, IBG has the support of China Non-Ferrous (NFC) who are looking to potentially fund the project.

70.8M T 2012 Jorc resource @ 5.7% Zn. The $0.35 valuation is based on $1.20 US/pound Zn Price. At $1.60 Val is $0.72.

10X potential upside. Worth checking out.

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could be a good sentiment play, however takes a very bullish zinc view as they won't be in production for a fair while yet eh?
NCZ Price at posting: $1.29 Sentiment: Buy Disclosure: Held
1 Upvote

0 Great analysis

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