That is a fair point.
However it is also true that such an in ground value does not take into account the significant capital costs of developing a mine. Those costs would also make a significant difference to any value proposition.
NSL looks to me like a trading opportunity at this stage. It may well develop a strong iron ore resource and perhaps even end up mining it at some point in the medium to long term future. There are significant risks in exploration though and the deal just isn't attractive enough for this to be an investment case yet.
Remember if they end up with a significantly better project than 200mt@60%fe there are additional shares to be issued as well as the couple of billion that would be issued for the base milestone.
Great deal for the vendors, not sure if it so great for NSL holders in the long term. Time will tell though.
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