Stockchase Opinions

James West Nickel Creek Platinum Corp. NCP-T BUY May 16, 2012

Has close to 30 billion in recoverable metals but only has a market cap of $100 million. Already has a 10 million ounce resource of 1.5 g per ton of combined platinum and gold. Have now acquired Ursa Major Platinum so is now a platinum producer. This gives them increasing cash flow while they drill 20,000 m from underground, they have the bank account that can wait out 4 years of economic winter.
$2.050

Stock price when the opinion was issued

Mining
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TOP PICK
12 million oz of gold and platinum. 17 km long deposit. Potential to double in size of larger. Was formerly a mine and has been permitted. Access to power. Could go into production in 2 years.
BUY ON WEAKNESS
17 km of combined, primarily platinum/gold but also some nickel and copper in the Yukon. There is no problem with permitting and they have water. Thinks it will be a very large mine some day.
PAST TOP PICK
(Top Pick Oct 25/11, Down 14.65%) Just started a 20,000 meter drill program and is the largest undeveloped platinum project ever undertaken. It is a no brainer.
BUY
Located in the Yukon. Metallurgy is not really an issue going forward. Will be producing a concentrate of copper, nickel, platinum, gold and silver. As the deposit evolves through mining, there are going to be charges but their Platsol process is proven so this is not a question. Will be a producing platinum company within 2 years because of their recent acquisition.
DON'T BUY

Very large copper-nickel-platinum-palladium-gold system. Infrastructure is not bad but the question with this is you’ve always got to look to the metallurgy. Eventually when they mine it and concentrate it, it has to be sold. The question is, what is the grade of the payable minerals in the concentrate. Until you see what that concentrate grade looks like and it is sellable, he would stay clear of it.

DON'T BUY

(Market Call Minute.) Doesn’t understand the metallurgy yet.

COMMENT

He looked at this project. It has good investors in it. They have a good CEO running it. It is a big project. The big thing is not only drilling out the resource which they are doing, but the metallurgy is very important in any one of these deposits, in terms of base metals or PGM, the products they produce. Whatever metallurgical test work they do, is really one thing to watch going forward.

COMMENT
He prefers platinum palladium plays. Prefers blue-chips that pay a dividend over the juniors without dividends--especially if you're an older investor. Do these companies have money or need to raise it? For NCP, take a closer look at this based on these questions.
DON'T BUY
A small, very speculative land holder in Canada. Higher nickel prices may push this stock higher