The Russians may or may not want the 30 million ozs Palladium but am sure they would love control of such a monster resource even if only to keep it off the market.
And yes they would love the 10 million ozs Gold currently valued at 2 lousy bucks an oz IGV if EVERYTHING ELSE is valued at NIL. Love the Gold chart cos it is so close to confirming fifth primary time. This will be third attempt.
Plus I am sure they wouldnt mind the best primary resource of Scandium in the world wrt grade and size thrown in the mix.
We wont talk about the Skaergaard Vanadium and Platinum or the Owendale Cobalt Nickel and Platinum cos they are currently harder to get rolling. Just ask neighbour CLQ.
Toldyas I could see 35 c CLQ once it couldnt hold pivotal support at a buck. What fantastic smoke and mirrors marketing genius there hey. If RF had Skaergaard now we would already be heading toward that 700 mill buck market cap he promoted CLQ to on the Owendale lookalike alone. Free milling Skaergaard Gold and Palladium is much less riskier than an Oz HPAL Laterite Nickel Cobalt. Ask the Oz majors who have tried to produce Ni laterites here.
Wise PGM to focus on primary Scandium with miniscule capex and nice IRR et al for a base case contract toget the project finance for. 40tpa is one major like a Rusal wanting to test build a few superior MIGs like they used to. Thats a nice project for a modest MD to cut his teeth on.
But Skaergaard is the project to make a global name for himself and big bucks for his swag of options and incentive shares. Is he capable? Hope he is cos the Board dont seem too keen. And the major shareholders, well they dont seem so hungry. Disappointing.
We should soon know what numbers are used in the scoping study upgrade. You know my approach, use a wide range cos the technicals stars are certainly aligning, and also work backwards on a modest target IRR et al which would be considered attractive and see what prices of Gold Palladium it spits out for CRITICAL MASS for project go. Market doesnt like CLQ 's 19 pct IRR and huge capex for Syerston, and changing its name to Sunrise aint going to change things, So reckon lets talk 30 pct IRR for base case Skaergaard critical mass and throw IN some whatiffs beyond if precious metals go spastic.
Remember all we need to do is attract a corneRstone investor to fund likely dfs at Skaergaard so we can really beef it up before going to the dealing table. My guess 20 mill IPO for 25 pct with promo to the right people beforehand and listing where such projects are understood and properly handled. Thats a standard logical approach Teddy. No Sir in my title mate, but I know how engineering projects are usually done. This is straight Vanilla Ice Queen haha. Anyone remember the theme song?
Anyone seriously interested in PGM should check out all the work done and reported from the acquisition of Skaergaard back around 2008. In today's AUD. it sure conjures up the stuff of golden dreams for them who can think outside the box.
OWEP
PGM Price at posting:
6.5¢ Sentiment: Buy Disclosure: Held
