Activity in CIA lately seems to me to suggest optimistic view by investors regarding
Bloom Lake. If I remember correctly CLF paid some 5 Billion for it right at the top of
business cycle. That is most likely what sunk it. Again, guessing, CIA paid some 25 Mill.
for Bloom Lake operations.If economy improves and demand for iron raises prices CIA
would be in position to revive operations. At that point CIA might become extremely
attractive to big guys, one being in the neighbourhood.
Have no inkling what amount they would be willing to pay for CIA, but in my
uninformed opinion I guess that $ 3.00 a share would be reasonable.
That in turn would make FNCs stake in CIA worth about $ 35,000,000.
Even if only a portion of that amount trickles to FNCs share price we could be
looking at $ 0.20+ per share exclusive of all other assets. Since FNC sat at the low
of 2 cents for months on end, 20 cents per share would make it ten bagger.
FNC did actually make an intraday low of 1.5 cents.
Pipe dream or distinct possibility..........................You decide.
GLTA,
Fossil
