indian belly, page-16

Hi Joe,

I agree that we have had some delays, but I believe the management is focused on the future of the company and a very favorable outcome for all the shareholders.

Why I think its cheap:

1. Placement of 10 mil was done in may this year to very sophisticated investors, including the entire board of NSL at 20c (110% return from current levels)

2. The Chinese want 10% for 10mil US for current mines plus have pledged more cash as backup for future purchases (that 100 mil MC) (ie 500% return from current levels.)

3. Price of ore is appreciating nicely (NSL cash flow projections were based on $70 USD per ton, currently spot price $150)

4. Current cash balance in the company is approx 6-7 mil, ie no real threat of placements to reduce the current holders value.

So please some one explain to me where is the downside from here, as even a shell with 7 mil in the bank today commands 15 mil plus MC. NSL is priced at $20 mil for the whole company including the mines for which we have paid $7mil plus.


So where is the down side? These are just my thoughts and I will continue to accumulate at these levels.

Good luck to all.