Freeport-McMoRan (FCX)

[LongMetal]

Hey FCX, here's some #'s to consider regarding buyout of the Northern Dynasty Pebble Mine Project (current market cap of NAK is just $302 million:

A similar story is a property acquired by First Quantum with similar infrastructure requirements.
First Quantum bought Inmet Mining through a hostile takeover a few years (late 2012 early 2013) ago for 4.8 billion dollars. Inmet Mining’s main asset was the Cobre Panama deposit As a result of the takeover First Quantum acquired 80% of the Cobre Panama deposit. The Cobre Panama deposit was similar to the Pebble deposit with copper, gold , moly, and silver reserves. It had at that time 4.2 billion tons of measured and indicated resources. Pebble has 6.5 billion tons of measured and indicated resources. If you do the math the First Quantum acquisition cost for Inmet would be equivalent to an acquisition cost for Northern Dynasty at 100% of $9.29 billion or approx. $25.66 per fully diluted shares (362 million). If they partner again for $1.5 billion for 50%, this would imply a value of at least $3 billion for NAK or $8.28 per share.
This is a huge upside potential from where the stock price stands now but it is only a small fraction of the potential for this immensely strategic deposit. The deposit east of the graben fault has only one core sample associated with it. It measured 1.98% CuEQ over 289 meters implying that the Pebble deposit might extend significantly eastward and may contain as much or more copper, gold, moly and silver than that already reported. If this wasn’t enough, there are several other potentially significant areas as large as Pebble on their lease that haven’t been significantly explored. Whoever acquires Pebble will have resources that could last well over 100 years of mining, providing immense economic benefits to Alaska as well as the rest of the United States.