Noront Resources

Well I think the ARU fiasco has to scare people enough into not wanting the Rosseau Fund to be running the administrative branch of Noront now or in the future. My worry isn’t only Rosseau but the possible control that would likely be linked to Pinetree Capital and its CEO. Lets face it Pinetree is having major SP declines since the 2006 insider trading investigation of its CEO. The stock was sitting below 1.00 as of last week (not sure what it is today). I’m afraid there are too many personal egos at work here trying to get a quick piece of Noront’s shareholders action. It’s their profession to get the best return for their clients. If I was a client of these investment firms I would be thinking twice of why I invest with them.

For example. Look at Aurelian Resources and the fiasco there. The poor longstanding retail shareholders, who saw this play move from pennies to near 10.00 were no doubt jubilant in their 10 and 20 bagger returns (providing they sold at 10.00). Now we had the same here with Noront (NOT.V). Its the poor investors that got in at the 5.00 to 10.00 range that have nothing to win and everything to lose by the deal struck with ARU. The same likely would hold true with NOT.

Note the tonnage numbers (gold) from the ARU 2007 re-statement:

“Aurelian Resources Inc. is a publicly-listed (TSX:ARU) company engaged in exploring, discovering and developing mineral wealth in Ecuador. The Fruta del Norte (FDN) discovery lies at the heart of the Condor Project, located in south-eastern Ecuador. The initial Inferred Resource for FDN was released in October 2007 and included 58.9 million tonnes grading 7.23 g/t gold and 11.8 g/t silver for 13.7 million ounces of contained gold and 22.4 million ounces of contained silver (Report titled “A Mineral Resource Estimate for the Fruta del Norte Deposit, Cordillera del Condor Project, Zamora-Chinchipe Province, Ecuador” and dated November 15, 2007 filed on http://www.sedar.com). Visit http://www.aurelian.ca for more information. ”

This baby was going to go….as is Noront. And what then happens. Kinross just walks in and takes the ball from the private shareholders (of course I am guessing the other funds no doubt have a lot of Kinross shares, even without looking at thier sheets), paying off the puppet management team and then taking the reins.

What makes these two horror stories so simiilar. DRASTIC STOCK PRICE REDUCTION

ARU dropped suddenly in April 2008 due to the closing of the Ecuador Mines by the Ecuadorian governement. Their biggest asset was now unattainable and their stock price plummetted overnight by over 50%. The price only regained a small amount before the installation of new management and the ensuing Kinross takeover. I guess the question was..and I can’t answer it….did the ARU Ecauadorian Mine have any light at the end of the tunnel to re-open. If not then their biggest money making mine was likely to be put on hold for an extended period of time. I am not fully updated as to what happened here and would love an ARU investor to put me right where I have errored in my history.

The bottom line for Noront: The same thing….great intial results…investor euphoria and herding in September 2007. Then…..less spectaculor news and the price droops significantly…then the soft bashing…then the Feb 08 ecomomic burp which put it down into the 2.75 range. Then comes the “EAGLE 2 has landed” the price zooms back up to the 7.50 range and then….is pushed back down to where we are now….. All the Chromite in the world hasn’t pushed the price back up…..and now the market has dropped us lower than the last major low in Feb 08. We are in a position for the Hedgies to play management roulette with us. WE MUST VOTE AND PREVENT THIS FROM HAPPENING. Those who bought Noront shares over 3 and 4 dollars may have the most to lose if this hostile management takeover bid succeeds.

In addition to what I’ve noted and what has been said too many times to mention on the ARU and NOT boards regarding Rosseau and Mr Anderson…..I would personally like to have their people provide me and the other investors in Noront a history of their management takeovers indicating where the management changeover took place (what price and what phase of development) and where they got off the boat (sold, got voted out etc). I would like to see where they have held LONG……in their control of the newly managed company. I would like to see where they got off the boat and how in each case. Until I see that they have worked with the “entire” investment community within that company…I will NEVER deal with them and will fight them in every way I can to keep them out of Noront. Trust me….all other Noront shareholders (including those voting for Rosseau who may think a change is good) must put this zigsaw puzzle into complete perspective prior to considering in any way some possible advantage to the removal of our management team who have been proven to be dedicated hard working individuals…and having them replaced by those who aren’t IMHO dedicated to the company and its shareholders in any way, shape or form.

BE VERY CAREFUL WHO YOU VOTE FOR…IT MAY BE YOUR LAST VOTE……….. http://www.proxyvote.com

Mustangman