Niocorp Developments Ltd (NB)

[tedro84]

1. The Northcott capital debt for shares swap at a 10% premium and with a four month holding period. If Northcott holding then I’m holding.

2. A $63MM deal with with Rockies Express, a subsidiary of Tallgrass, for the pipeline. Rockies Express is not wasting time negotiating this deal if they didn’t believe there was a high likelihood of it happening. Writing large contracts like this is a major undertaking for the legal teams on both sides and certainly not cheap.

3. It’s not the fact that 75% of the Niobium is spoken for, it’s the companies that signed the offtakes. Thyssen-Krup knows they need Niobium, but they also don’t want to be committed to purchasing more than they can use. Companies like them and Traxis aren’t signing offtakes that they don’t believe will ever come up to fruition.

The offtakes are old news, but here are votes of confidence from four different companies. There are a lot of things I disagree with and I’m disappointed that Mark keeps portraying that the German guarantee can kick start financing when it is clear that the German government requires a complete financing package before issuing the guarantee, but all in all Northcott, Rockies Express, TK, and Traxis are good enough short term reasons for the high risk/high reward portion of my portfolio.