Today, we are lucky to have Power Nickel CEO Terry Lynch with us. During the last month, the company has reported several positive developments and we believe the company is flying under the radar. We are excited to learn more about Power Nickel and have a few questions for your Terry.
1. Can you please tell us about Power Nickel and the assets that are owned by it? Is there a certain element that you are focused on?
We are very focused on Nickel. I particular high grade Nickel Sulfide like what we are finding at our Nisk project south and east of James Bay Quebec.
2. Power Nickel recently confirmed the presence of high-grade Ni-Cu-Co-PGE mineralization at its Nisk project. For our readers who are unaware, what is the significance of this?
In mining Grade is your friend. It drives ROI and reduces investment risk. We are fortunate to have a high grade Nivkel Sulfide discovery at Nisk which is supplemented by healthy amounts of Copper Cobalt and PGE’s (over 1 gram of Palladium). The presence of these other minerals provides financing benefits and spreads the risk of the project being reliant on any one metal.
3. What are some of the differentiating factors that make Power Nickel stand out from other Canadian junior miners?
I think number one has to be we are so undervalued for the resource that has been discovered relative to our peers. I feel we are trading at least a 90% discount and there is upside in this number.
Unlike a lot of juniors we post our drill data so amateur and professional modellers alike can model the growing deposit and see what we are seeing. We’re all about transparency. We are not trying to fool investors or hype them. We feel the coming drill results will show the world Nisk has reached a stage where it should be considered a commercial deposit. That’s often the stage stocks take a significant run.
4. Can you tell our readers about the most recent non-brokered private placement and the amount of stock that is owned by the management team?
Yes it was discouraging and encouraging at the same time. The financing was done with a Unit of 1 share and a warrant at $.20. That portion of about $2.75 million was a Charitble Flow Through with those investors selling the stock the moment after closing to end user investors for 50% of that price. So the Company got $2.75 million and the end investors paid 50% or that as they acquired the stock from high tax paying Quebecers who record saving on their taxes as we flow thru various tax deductions and credits to them. We also did around $1.4 million of direct investment in the Company at $.10 with a similar callable $.20 Warrant.
Over 90% of the stock was acquired by our existing shareholders as and this is the disappointing part with our share price so low ($.10 day we announced it) we hated to dilute here but we just couldn’t fight the tape. However out of respect to our shareholders we had advised everyone to buy either in the market or in the placement. Our view was if you have to give it away then give it to your loyal shareholders. In this round my family and I were the largest investors committing over $1 million and totally with the board we were responsible for about 40% of the financing. We have skin in the game and remain committed to make Nisk Canadas next Nickel mine.
5. You have a long track record of success in the mining industry. Could you tell our readers about your experience in the mining sector?
I have helped a number of Companies as an investor and advisor, as a founder and cofounder but probably best known for my role in starting Save Canadian Mining with other notable mining leaders like Eric Sprott, Sean Roosen, Keith Neumeyer and many others.
6. When compared to other Canadian junior miners who are executing on projects that are located in the same region as you, Power Nickel is trading for a considerable discount. Is there any reason to this?
I feel three main factors have held us down.
- Hardly anyone know are story. There are times especially in a hard market such as we have at moment when you try and get your story out there. In our mind it is after you establish your Drill Bit credibility and after you have established a plan with capital to execute the plan to get you to next stage in development. In our case that’s having enough capital to do enough drilling, to do the metallurgical testing so that a revised NI 43-101 can be prepared that will we feel establish the commercial credibility of the project. That in our view would require us to post a resource in the 8-10 Million Tonnes of 1.5% NIEQ. While there are no guarantees we believe this is a very achievable number. One I might add we believe we can really grow with as well.
- Tying in with the above was the fact that we are now financed for this next phase and as a result their are no financing fears hanging over stock. If you like the Power Nickel Investment story you need to buy it in the market.
- The third point is we have been subject to predatory short selling. It’s been apparent for sometime and while it may shock many readers that it happens in small companies this is a fact. Please go check www.SaveCanadianMining.com and you will see. It’s not just Power Nickel the entire TMX Metals and Mining index is trading at about 35% of its historic value according to our research.
I think these short sellers will be a very concerned group as we show our ongoing results and do not need to take their financing.
7. What are some of the most significant potential catalysts for Power Nickel?
Well we have been drilling since mid September and reported our first assays about two weeks ago including our best hole to date of about 26 metres of 2% Nieq . So expect more assays in early January and every three weeks or so until June when we would expect to post a new NI 43-101. So a lot of progress for investors to watch!
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Pursuant to an agreement between Spotlight Media and Power Nickel we have been hired for a period of 180 days beginning November 1, 2022 and ending May 1, 2023 to publicly disseminate information about Power Nickel including on the Website and other media including Facebook and Twitter. We are being paid $3,000 per month by Power Nickel and were paid “ZERO” shares of unrestricted or restricted common shares. We plan to sell the “ZERO” shares of Power Nickel that we hold during the time the Website and/or Facebook and Twitter Information recommends that investors or visitors to the website purchase without further notice to you. We may buy or sell additional shares of Power Nickel in the open market at any time, including before, during or after the Website and Information, provide public dissemination of favorable Information This article contains forward-looking statements within the meaning of applicable securities laws. All statements that are not historical facts, including without limitation, statements regarding future estimates, plans, programs, forecasts, projections, objectives, assumptions, expectations or beliefs regarding future performance are “forward-looking statements”. Forward-looking statements can be identified by the use of words such as “expects”, “does not expect”, “is expected”, “believes”, “intends”, “anticipates”, “does not anticipate”, “believes” or variations of these words, expressions or statements, that certain actions, events or results “may”, “could”, “would”, “might” or “will be” taken, will occur or will be realized. Such forward-looking statements involve risks, uncertainties and other known and unknown factors that could cause actual results, events or developments to differ materially from the results, events or developments expected and expressed or implied in such forward-looking statements. These risks and uncertainties include, but are not limited to, dependence on obtaining and maintaining regulatory approvals, including the acquisition and renewal of federal, provincial, state, municipal, local or other licenses, and any inability to obtain all necessary government authorizations, licenses and permits to operate and expand the Company’s facilities; regulatory or policy changes such as changes in applicable laws and regulations, including federal, state and provincial legalization, due to fluctuations in public opinion, industry perception of integrative mental health, including the use of psychedelic-assisted therapy, delays or inefficiencies or any other reason; any other factor or development likely to hamper the growth of the market; the Company’s limited operating and profitability track record; dependence on management; the Company’s need for additional financing and the effects of financial market conditions and other factors on the availability of capital; competition, including that of more established and better funded competitors; the impact of the Russia-Ukraine conflict on the global economy; the continued impact of the COVID-19 pandemic; and the need to build and maintain alliances and partnerships, including with research and development companies, customers and suppliers. These factors should be carefully considered, and readers are cautioned not to place undue reliance on forward-looking statements. Despite the Company’s efforts to identify the main risk factors that could cause actual measures, events or results to differ materially from those described in forward-looking statements, other risk factors may cause measures, events or developments to materially differ from those anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in forward-looking statements. The Company does not undertake to revise forward-looking statements, even if new information becomes available as a result of future events, new facts or any other reason, except as required by applicable laws
