As is sometimes the case, the best way of getting a handle on a company is not to go how it describes itself, but rather the company which is invested in it.
This point was illustrated on September 28 when All Star Minerals, who have over 5 million shares in NQ, talked about their “valuable asset.”
Key to this situation is both the move of NQ to AIM, which is by all accounts nearly complete and news regarding the first production from the Hellyer Gold Mine.
In the case of the mine, it is said that there will be imminent developments, as it is ahead of schedule on production.
Brian Stockbridge, chairman of NQ Minerals PLC
NQ Minerals (NEX: NQMI, OTCQX: NQMLF) has completed the acquisition of 100% interest in the polymetallic Hellyer Mine in Tasmania.
(With over US$1 billion worth of contained gold, silver, zinc and lead at Hellyer, over US$350 million worth of existing mine infrastructure, and a net present value of approximately US$210 million, the Hellyer Mine is a flagship project for NQ Minerals.)
Both of these factors should mean that the recent share price weakness in NQ Minerals is cast aside, especially given the way even ahead of all of this Australia based mining and exploration company has been mildly profitable.
In July it was able to announce two marketing and off-take agreements lasting 5 years for lead and zinc, together with a $10,000,000 finance facility.
All of this essentially secures the future of the group in a way that many of its peers can only dream of. Nevertheless, the market is still treating the company as if nothing had been achieved.
It has, with the implication that a re-rating or even interest from sector peers is already in the offing with talk this could lead to a 40p possible deal once on AIM.
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