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Feature article August 1, 2020:

 

NioBay Advancing Toward Goal of Becoming 4th Niobium Producer in the World

 

NioBay Metals Inc.

(TSX-V: NBY) (OTC: MDNNF)

 

Share data, Capitalization, & Corporate info

 

 Shares Outstanding:  52.34 million (~63M fully diluted)

 Recently Traded: ~CDN$0.58/share (TSX-V: NBY)

 52 Week High/Low: $0.21/ 0.73

 Current Market Cap.: ~$30.3 million Canadian

 Corporate Website: www.niobaymetals.com

 

Breaking News July 9, 2020: NioBay Reports a Significant Increase in Resources at James Bay Niobium

 

Mineral Resource at NioBay's James Bay Nb deposit:

  • Indicated Resource = 29.7Mt of 0.53% Nb2O5, containing 158,000,000 kg Nb2O5.

  • Inferred Resource = 33.8Mt of 0.52% Nb2O5, containing 177,000,000 kg of Nb2O5.

  • Mineralization is open at depth (>330m).

  • Metallurgical tests affirm an expected near-80% rate of recovery, superior to existing producers.

"To put matters in perspective for those that do not understand Niobium; the value of the rock at NioBay's James Bay deposit is close to $200/t, that translates to an equivalent* resource of ~3.1 g Au/t with ~6,300,000 ounces of Gold."

*NON 43-101 / Niobium valued at US$40/kg, $1,600/oz Au

 

   

Valuation Commentary: NioBay Metals Inc. (TSX-V: NBY) (US Listing: MDNNF) is focused on advancing its flagship 100%-owned James Bay Niobium project in Northern Ontario Canada. Niobium (Nb; atomic number 41) is a critical element, primarily used as an important additive/strengthener in the high-value steel making process. There are only three niobium producers globally (2 in Brazil, 1 in Canada), all privately held and highly profitable. NioBay Metals Inc. has an impressive niobium resource deposit at James Bay with earmarks of it becoming the fourth producer in the world. The Company is expected to have a Preliminary Economic Assessment (PEA) in hand this Q4-2020 demonstrating robust economics. Following the PEA look for the Company to derisk the project quickly; upgrade its resource to Measured in order to be suitable to conduct a Feasibility Study. Astute investors would do well to familiarize themselves and take a position now in NBY.V as once derisked NioBay will have a target on its back, it stands an excellent chance of being taken private, like the other 'cash-cow' producers in the niobium oligopoly space.

 

Using a Model of Implied Capital (MOIC -- what an interested party would pay once derisked) discounted to where the company sits today, we see the share price of NBY.V poised for upside revaluation, trading significantly higher in the near-term, as more people appreciate the developing opportunity. In-fact, we can confirm that John Kaiser, of Kaiser Research, has recently issued commentary on NBY.V to his paid readership; we can confirm from statements at venues such as the Metals Forum that a 5x to 10x rise in share price is in order, the NEV of NioBay is $1.4B, and look for NBY.V to trade at C$1.25 to C$2.17 per share as the reality of what NioBay possesses is better understood.

 

 

Figure 1. (above) - Drill core from NioBay's Winter-2020 drill program at the James Bay Niobium Project. Note the size of the pyrochlore, which is the mineral that contains the Niobium -- that is one of the reasons NioBay's recovery is exceptionally high (near-80%, which is superior to existing producers). NioBay has a very unique deposit in terms of the prevalence of copious amounts of coarse pyrochlore crystals.

 

NioBay's winter-2020 drill program has yielded quality results, confirming the continuation of a high-grade zone heading north, it also provided insight that will lead to improved economics in the approach for mining the deposit. The upcoming PEA is expected to consider various mine plans, including a hybrid scenario of an open pit south of the creek and underground for mineralization to the north. The deposit seems to be dipping to the north, so it will be more efficient to progress underground anyways.

 

The math on the James Bay Niobium Project is shaping up to be quite impressive: In the PEA, we believe NioBay will demonstrate costs on par with the highly profitable Niobec Mine (which has been in operation for ~43 years now and currently produces ~7,000 Nb tpa, representing ~8% of global supply), costs in the range of US$18 to $20/kg of Nb. With NioBay targeting an operation capable of producing 6,500 Nb tpa (6,500,000 kg Nb/annum, which is expected to represent ~5% global market share, seeing NioBay processing ~2.2Mt per year of rock), and with the sale price of Nb stable at ~US$40+/kg of Nb (stable even in rough times, since the price of niobium is not set by 'supply and demand', price is set by the largest producer of the oligopoly; CBMM which currently supplies ~80% of global supply), NioBay will be in a position to hit a serious home-run for shareholders, demonstrating an operation capable of throwing off positive cash-flow of US$100M to $150M per annum for at least a couple decades.

 

NioBay will be targeting its production output based on market share, it does not want to be more than 5% of the market so as to not disturb the market. NioBay will get its foot in the door without creating an issue with CBMM (the largest producer).

 

Currently NBY.V has ~52.34 million shares outstanding, and has a market cap of ~C$30 million. In total there are roughly 1,700 shareholders in NBY.V. ~40% of the shares are owned by insiders, with Osisko Gold Royalties owning a 20% stake in the Company. In the last private placement Osisko chipped-in to maintain its 20% share. NioBay Metals Inc. shares head office space with Osisko Gold Royalties in Montreal.

 

In a Corporate Update, on June 16, 2020, NioBay Metals provided the following insight on developments still expected to come:

- SGS Lakefield (“SGS”) completed the gravity tests on the composite sample. The results showed a mass pull of 40% to 43% using spirals with a niobium loss of only 4%. These initial results will have a positive impact on the Project’s economics by reducing the estimated capital and operating costs. The flotation tests are now underway and the final results for all of SGS’s testing will be published in Q3 2020.
 

- G Mining Services (“G Mining”) began working on the Project’s Preliminary Economic Assessment (“PEA”) in May 2020. The Company has requested that G Mining review three mining scenarios (underground mine with ramp access, open pit mine and a combination of open pit and underground). Assessing the three scenarios will provide the Company with information to balance the economic benefit, the costs, jobs and community benefits along with the potential environmental and cultural impacts.

 

Below we look closer at the compelling opportunity NioBay Metals Inc. presents for investors.

 

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Understanding the importance of Niobium

  • Stronger, lighter, tougher, more flexible, and more weldable steel: 90% of Nb produced is used to manufacture High-Strength Low-Alloy (HSLA) steels -- improving its properties; increases strength and toughness, increases corrosion resistance, and increases weldability. A small amount of niobium (~0.01%) in high-strength low-alloy steel dramatically increases strength by 35 to 40 megapascal. The increases in strength for steel lead to weight savings, reduced steel consumption, and a lower carbon footprint, which why niobium is often reference as a Green metal. Niobium plays an irreplaceable role in a host of industries; structural steel applications (e.g. high rise buildings, bridges), automotive industry applications (the integration of $10 worth of niobium in an automobile reduces its weight by 100 kilograms and increases its fuel efficiency by 5%), oil & gas industry infrastructure applications (e.g. pipelines and connections). See related 'Nb in HSLA' video here [running time 4 min. 25 sec.].

  • Other uses; ~10% of world Nb production, includes high performance alloys for aerospace industry and electricity generation (e.g. jet and land based turbines), and medical devices (eg. MRI and orthopedics).

  • Future applications: R&D is being performed on niobium usage in aluminum alloys and titanium alloys. There are potential use in creating more efficient particle accelerators, and of growing significance is how niobium oxides are playing an emerging role in the development of new functionalized materials and new solutions in energy storage (Note: Toshiba has developed a titanium niobium oxide (TNO) anode material that has double the lithium storage capacity by volume of the graphite-based anodes generally used in lithium-ion batteries -- see related synopsis from Toshiba regarding its Next-generation SCiB™ expected to come to market soon). Also see related 'Nb in advanced technologies' video here [running time 6 min. 45 sec.].

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Niobium - Global Markets

  • +90% Niobium is used in High Value Steel.

  • The annual growth in the last 3 years has been +17%.

  • China's intensity usage of niobium is roughly half of what it for the EU and North America, however in terms of quantity China uses more.

  • China has no niobium, they like to control commodities -- so China ended up purchasing one mine in Brazil from Anglo American, paying USD$1.7B for the mine. As it sits now, there are no other niobium operations available for sale. Indirectly Chinese influence also bought the Canadian, Niobec producer too in 2014 for ~US$500M; via Aaron Regent with financial backing of the Singapore sovereign wealth fund Temasek Holdings and CEF Holdings Ltd., a Hong-Kong investment firm owned by billionaire Li Ka-shing’s Cheung Kong Holdings Ltd. and Canadian Imperial Bank of Commerce.

  • There are only 3 producers in the world (2 in Brazil, 1 in Canada)...

Supply - only 3 producers

 

Figure 3a. (above) - The 3 suppliers that supply the global demand for Niobium. The size of the market for steel grade is approaching ~100,000t of Nb/annum, its close to a $4B market, not large, however what is unique is there are only 3 suppliers.

 

Figure 3b. (above) - Sales by Suppliers in 2019

 

Commentary on CBMM's global dominance and how it benefits the other two producers (and NioBay when it becomes a producer): CBMM in Brazil is a giant in proportion to the other two producers. CBMM controls the market (+80% supply of the global market) by virtue of its size, capabilities, and gargantuan +500Mt of established resource (and more if they need it). The price of niobium is whatever they say. The cost of niobium is negligible to steel producers in terms of the amount used and benefits derived, CBMM has for decades maintained a cordial relationship with industry and set a fair price for niobium, one which affords CBMM a handsome return, and by default the two other smaller producers have reaped rich margins too. CBMM could squash the other two producers in the market, but due to the unique market dynamics and its sheer dominance, CBMM would be foolish; if CBMM were to drop the price by just say US$5/kg., at 100,000 Nb tpa (the level NioBay forecasts CBMM sales to be at in 2026 when James Bay could potentially come online), it would cost CBMM half a billion $, something they are simply not going to do -- CBMM's loss would dwarf the benefit derived. Even in hard economic times (e.g. after the 2008 financial crisis), CBMM had no problem adjusting to market conditions as the swing supplier. In fact, the current President & CEO of NioBay Metals Inc., Claude Dufresne, was the person in charge of niobium sales for the Niobec Mine in Canada during the 2008 financial crisis, he was able to sell 100% of its product in 2008, 2009, and 2010 at stable prices. Even though demand globally dropped 40% at one point, the Canadian producer sold all throughout. CBMM didn't chase the market for sales volume, they just sold less and waited for the market to come back. CBMM has the ability to supply 100% of the world demand, they have been in this position for decades while the other two players nibbled at the crumbs. CBMM is so huge and profitable they will expand as the world demand requires. In reality, how it works is the purchasing managers want to secure supply from Canada first and use CBMM as the swing supplier, the purchasing manager does not want to use just one supplier and wants to support the little guy -- and that is the way it works. Having a 4th producer is not going to impact the big producer -- NioBay Metals' strategy is to be the smallest producer and no more than 5% of global demand.

 

Niobium Demand in 2009 vs 2019

Figure 4. (above) - Demand in 2009 vs 2019

 

Niobium Demand and Price

 

Figure 5. (above) - World Consumption over the last 11 years and price. Note that the price remains stable, between US$34 and US$42/kg for over 11 years, even when there is weakness in demand. CBMM knows it can't force demand with lower prices, so it rides out the waves as the swing supplier.

 

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NioBay Metal's James Bay Niobium Project, Northern Ontario - 100% owned

 

The property comprises the Crown Mining Lease (# CLM11) and covers a total of 2,530 hectares.
 

Location

 

Figure 7. (above) - Location maps. The James Bay Niobium Project is located in Northern Ontario, ~40 km south of a small town called Moosonee, ~100 km north of Detour Gold, ~400 km east of the old Victor Mine (a DeBeers Diamond Mine that recently shut down). NioBay's James Bay Niobium Project is located outside of the watershed (significantly less challenging to develop from an environmental standpoint). The project is well situated near infrastructure and a stable workforce.
 

The Company has very favorable relationships with the local Moose Cree First Nations people; the recently elected Chief and counsel are all mining-friendly and development-friendly, a forced election last year was in-part to ensure stable business oriented leadership. The Moose Cree have previously signed IBA's with Detour Gold, and the old Victor Mine which had brought them compensation. The Moose Cree also own a 25% interest in a small power dam with Ontario Power Generation. NioBay has a community outreach and engagement program, NioBay has signed a Protection Agreement with the Moose Cree for drilling, and the Company has periodic update conferences to explain results and the next steps.

 

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History

 

In June 2016, NioBay Metals Inc. acquired 100% of the property from Barrick Gold Inc., James Bay Columbium Ltd., and Goldcorp Inc.

 

When NioBay approached the previous owner, NioBay was the one that had to educate them as to the significance of what had previously been discovered on the property in the past, and essentially forgotten with time;

 

Discovered in 1966

  • 14,000 meters of drilling at an average depth of 170 meters in 85 holes.

  • Historical estimate of 56M t @ 0.52% Nb2O5.

  • Exploration shaft (~40m ) & a 75m cross-cut.

  • 225 t extracted for metallurgical testing (pilot plant).

Lakefield Research carried out metallurgical tests

  • Overall recovery of 78%, very low impurities, and high grade concentrate.

Feasibility study was completed by Bechtel Canada in 1969.

 

NioBay Metals Inc. has access to all technical data and drill cores.

 

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Mineral Resource
 

With access to the old core shack and technical data, NioBay Metals technical team relogged/assayed the old core, was issued an exploration permit in 2019, and was able to issue its own maiden NI-43-101 Mineral Resource Estimate (MRE). The Company has since upgraded/updated the MRE as of July 9, 2020:

 

Excerpt of NioBay's July 9, 2020 upgraded Mineral Resource Estimate news announcement:

 

NioBay Reports a Significant Increase in Resources at James Bay Niobium

MONTREAL, July 09, 2020 (GLOBE NEWSWIRE) -- Niobay Metals Inc. (“NioBay” or the “Company”) (TSX-V: NBY) is pleased to report an updated Mineral Resource estimate (the “MRE”) for its James Bay Niobium Project, located in Northern Ontario. The MRE shows an increase in tonnage of 33.6% and 13.8%, respectively, for the Inferred and Indicated Resources categories. The MRE was prepared in accordance with CIM (2014) Definition Standards as referenced in Canadian National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) and was prepared by Roscoe Postle Associates Inc. (“RPA”) following the successful completion of a seven hole/3,090 metre drill program conducted earlier this year. The effective date of the MRE is July 9, 2020 and the supporting NI 43-101 technical report will be filed on SEDAR no later than 45 days after the date of this press release.

HIGHLIGHTS OF THE UPDATED 2020 MINERAL RESOURCE ESTIMATE:

Classification

Tonnes

Grade

Contained Nb2O5

(Mt)

(%Nb2O5)

(Mkg)

Indicated

29.7

0.53

158

Inferred

33.8

0.52

177

Notes:

1.     CIM (2014) Definitions Standards were followed for Mineral Resources.

2.     Mineral Resources are reported at a cut-off grade of 0.3% Nb2O5 based on an underground mining operating cost of C$70/tonne and a metallurgical recovery of 70%.

3.     Mineral Resources are estimated using a long-term niobium price of US$40 per kg and a US$/C$ exchange rate of 1:1.2.

4.     Bulk density of 2.93 g/cm³ was used.

5.     A minimum mining width of approximately 7.5 m was used to build the resource wireframes.

6.     Resources of 7.2 million tonnes situated in a 46 m thick crown pillar have been excluded.

7.     The RPA Qualified Persons for the estimate are Dorota El Rassi, P.Eng. and Paul Chamois, P.Geo.

8.     Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.

“The James Bay Niobium deposit keeps on surprising us. The resource improvement is just amazing, and with just 3,090 metres of drilling, we’ve increased the mineral resource considerably. The PEA is well underway, and we are looking forward to its results which are expected to be published in early Q4 2020. Further, these results support our belief that the mineral resource could be increased significantly by continuing drilling in the northern section of the deposit.’’ commented Claude Dufresne, President and CEO.

The MRE is supported by the results from the recent 3,090 metre drill program by the re-logging and re-sampling of twelve (12) representative historical diamond drill holes, by the preliminary metallurgical testing performed by SGS Lakefield on a composite sample and by all the historical data Niobay recovered from the previous operator: drill logs, assay certificates, surveyed collar coordinates, interpreted geological surface and level plans, interpreted vertical sections, location of the exploration shaft and 1st level, and metallurgical tests.

The data used to estimate the Mineral Resource includes 86 diamond drill holes totaling 16,320 metres located within the resource model area. The data includes 3,449 assays, of which 64 have a value of zero for Nb2O5. The estimate was prepared using a block model constrained with 3-D wireframes of the mineralized zone. The niobium oxide grades were interpolated using ordinary kriging, dynamic anisotropy and two passes.

The seven-diamond-drill-hole program of last winter was successful in confirming the extension to the North and at depth of the high-grade zone at the heart of the deposit.

BEST INTERSECTIONS OF THE 2020 WINTER DRILL PROGRAM

Hole Name

From
(m)

To
(m)

Length
(m)

Nb2O5 %

NBY-20-E1

93

278

184.4

0.69%

Including

171

233

61.8

1.02%

 

 

 

 

 

NBY-20-E2

139

329

189.8

0.66%

Including

195

257

62.5

0.97%

 

 

 

 

 

NBY-20-E3

334

444

110.2

0.58%

Including

392

408

15.5

0.80%

 

 

 

 

 

NBY-20-E4

250

419

168.5

0.56%

Including

282

309

26.6

0.75%

 

 

 

 

 

NBY-20-E5

169

415

246.0

0.57%

Including

272

344

72.3

0.63%

 

 

 

 

 

NBY-20-E6

335

463

127.6

0.60%

Including

379

416

37.0

0.79%

 

 

 

 

 

NBY-20-E7

274

481

206.9

0.58%

Including

289

396

107.0

0.67%

The current MRE incorporates this recent drilling and demonstrates an increase in contained metal of 13.7% for the Indicated Resources and 37.2% for the Inferred Resource.

COMPARISON TO PREVIOUS MINERAL RESOURCE ESTIMATE

 

Category

Tonnage
(Mt)

Grade
(% Nb2O5)

Contained Metal
(000 t Nb2O5)

2018

Indicated

26.1

0.53

139

Inferred

25.3

0.51

129

2020

Indicated

29.7

0.53

158

Inferred

33.8

0.52

177

 

 

 

 

 

Differences

Indicated

+ 13.8%

0.0%

+ 13.7%

Inferred

+ 33.6%

2.0%

+ 37.2%

Notes:

1.     CIM (2014) Definitions Standards were followed for Mineral Resources.

2.     Mineral Resources are reported at a cut-off grade of 0.3% Nb2O5 based on an underground mining operating cost of C$70/tonne and a metallurgical recovery of 70%.

3.     Mineral Resources are estimated using a long-term niobium price of US$40 per kg and a US$/C$ exchange rate of 1:1.2.

4.     Bulk density of 2.93 g/cm³ was used.

5.     A minimum mining width of approximately 7.5 m was used to build the resource wireframes.

6.     Resources of 7.2 million tonnes situated in a 46 m thick crown pillar have been excluded.

7.     The RPA Qualified Persons for the estimate are Dorota El Rassi, P.Eng. and Paul Chamois, P.Geo.

8.     Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.

RPA recommends a next phase drill program, including 9,000 metres focused on upgrading portions of the Inferred Resources to Indicated Resources and extending the Mineral Resources laterally as well as environmental, engineering and metallurgical studies required to support a future Feasibility Study.

Jacquelin Gauthier, P.Geo., P.Eng., consultant to the Company, acted as the Qualified Person as defined in National Instrument 43-101. He reviewed and approved the technical and scientific content of this press release. RPA’s Qualified Persons for the mineral resource estimate are Dorota El Rassi, P.Eng. and Paul Chamois, P.Geo.  They have reviewed and approved the above technical and scientific content of this press release related to the mineral resource estimate.

About NioBay Metals Inc.

NioBay Metals Inc. is a mining exploration company holding a 100% interest in the James Bay Niobium Project located 45 km south of Moosonee, in the James Bay Lowlands in Ontario. NioBay also holds a 72.5% interest in the Crevier niobium and tantalum project located in Quebec and a 47% direct participation in mineral titles situated in the Chibougamau and Normetal region, Quebec, under a joint venture agreement with SOQUEM. 

...click here for full copy from source

 

  • Mineralization is open at depth (>330m).

  • Based on an underground operation.

  • A crown pillar is excluded from the resource (~6 Mt).

  • 30m of overburden.

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The following is a conceptual underground mine plan of the deposit from a 2019 scoping study

Figure 8. Scoping study image from 2019. A PEA is expected to be delivered in Q4-2020 with various mining scenarios, including a lower capex and lower opex hybrid open pit (south of the creek) with underground (dipping to the north). Capex to begin an operation under an underground scenario would be in the neighborhood of CDN$375 million - $400 million, less if open-pit scenario is pursued. Once the project is derisked to Feasibility, there are lots of entities that would be interested in the steady cash flow this operation would generate -- we believe private capital will take this to its full potential.

 

3D Image of deposit

Figure 9. (above) -- 3D View James Bay Niobium Deposit

 

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2020 Winter Drill Program (completed)

  • 3090 m in 7 holes.

  • High-grade core extension, raking north.

  • Width is expanding toward north.

  • Open at depth (below 330m).

  • Only drilled 3 sections out of 14.

  • All holes intersected significant mineralization.

  • All intersections above 0.56% Nb2O5.

  • High potential to extend resource.

Surface View of Deposit

 

 

Figure 10. (above) -- Surface view of NioBay's James Bay Niobium deposit. The three black lines seen in the image (from left/south, to right/north) are sections 200, 400, and 600, which were subjects of the winter 2020 drill program. You can see the deposit starts to split, and the split seems to get wider as you move north, now if you compare the sections to their respective cross sections below, the gap between between mineralization and the surface is visible and progresses as the sections moves north -- the important thing is the deposit is richly mineralized further below and also much wider on sections 400 and 600. It is believed to be the case that if NioBay continues to drill on section 800 and 1,000 it could well be the case the mineralization continues -- this will increase the resource. Currently NioBay is just at ~330m depth. Also visible in the surface view image (above) is the outline of the creek that cuts through the deposit -- as stated previously, the upcoming PEA is expected to have a hybrid mining scenario that sees an open pit on the shallower south and heading underground before reaching the creek.

 

Section 200 - Winter 2020 drill program

Figure 11. (above) - Section 200 winter drill program.

 

Section 400 - Winter 2020 drill program

Figure 12. (above) - Section 400 winter drill program 2020.

 

Section 600 - Winter drill program 2020

Figure 13. (above) - Section 600 winter drill program 2020. If allowed to put gold equivalent, that 246m intersect of 0.57% Nb2O5 would equate to ~3.5 g/t Gold.

 

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A look at how a NioBay's James Bay compares to the Niobec

 

 

Figure 14. (above) - Comparison of Niobec (in blue) to NioBay's James Bay (in red). What really makes the big difference is the superior recovery rate for NioBay of 78% to 80%, compare that to Niobec which is ~65%. In the 60s NioBay's James Bay deposit had a bulk sample run at Lakefield and achieved 78% to 80% recovery rate with extremely good quality concentrate. Although NioBay's grade is ~10% lower -- the formula is always GRADE X RECOVERY making NioBay's ratio ~10% higher than Niobec's mine. Plus consider NioBay will may pursue an open pit initially, and it will be near surface. NioBay is more remote than Niobec, and will have to bring its concentrate off to the nearby town of Moosonee then off to the train, thus additional cost there. Overall it appears NioBay should have about the same costs as Niobec. Niobec's costs are US$18 - $20 per kg Nb.

 

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NioBay Metals' Strategy

 

NioBay Metals' strategy is to be the smallest producer and no more than 5% of global demand. This strategy allows Niobay to comfortably exist with the other two smaller producers and remain insignificant to CBMM.

 

Figure 15. (above) - Forecast chart of CBMM sales growth line (seen in blue) relative to NioBay coming online in 2026 (seen in green) -- NioBay registers as a minor non threatening blip on the radar.

 

Figure 16. (above) - CBMM (in blue) relative to NioBay's James Bay Niobium Project at 5% of market share (in green). By having a strategy of representing 5% of the global market, over time NioBay can step-up its production output as global sales volume rises, and still remain at 5%.

 

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No risk of new entrants to the niobium space

 

The James Bay Niobium Project is an exceptional project. This publication not aware of any other prospective entrants to the niobium space -- NioBay is truly in a unique position and in a mining-friendly jurisdiction. There are only two other possible niobium properties that exist in the world that we are aware of and both of them will 100%-definitely not advance; one in Tanzania called Panda Hill that has zero chance of ever making its way to market due to impassable jurisdictional issues that make it too risky and uneconomical (including, but not limited to, a 16% government interest in any development, and atrocious export duties), the other project we are aware of that exists is in Nebraska, however it is a Scandium and Titanium dominant and the numbers don't make sense yet -- especially because to get to the 30% Nb revenue stream you would have to leach 100% of the ore.

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Below is additional insight on NioBay Metals Inc.

 

     Content found herein is not investment advice see Terms of Use, Disclosure & Disclaimer

  

 

Recent news releases regarding Company accomplishments and operational developments:

 

July 9, 2020: NioBay Reports a Significant Increase in Resources at James Bay Niobium

 

June 16, 2020: NioBay Metals Provides Corporate Update.

 

June 5, 2020: NioBay Announces the Nomination of Derek Teevan and the Results of AGM.

 

May 21, 2020: NioBay Extends High-Grade Mineralization at James Bay Niobium.

 

April 8, 2020: NIOBAY INTERSECTS 1.02% Nb²O? OVER 62 METRES AT JAMES BAY NIOBIUM.

 

March 25, 2020: Completion of the Winter Drill Program at Niobay's James Bay Niobium Project. 

 

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Crevier (Tantalum & Niobium) Project

Ownership: NioBay Metals Inc. 72.5 %, Niobec Inc. 27.5 %

 

The Crevier Project is a tantalum (Ta) and niobium project that NioBay moved on from, and put in abeyance until tantalum prices recover. You can read more about the Crevier project here (at NioBay Metals' website).

 

NioBay spent close to $10 million to develop that asset. They did a number of metallurgical tests, they did a PEA, and started to work on a feasibility, however the pilot tests in 2012 were not what they expected, compared to what had occurred in metallurgical lab tests. The decision was made to put the project on the back burner. In 2019 there was an increase in tantalum prices, same for niobium oxide prices, and NioBay decided to do an internal scoping study using market prices and using a different approach on how to mine Crevier as an open pit. The original design was a 1.2 km long pit with a high strip ratio, so it was redesigned with six smaller pits, and the operation optimized. This produced some interesting numbers. It now makes sense to nudge Crevier along -- it would make an ideal spin-off for shareholders (another reason to own NBY.V as you might get free shares in a new company -- there is zero value in NBY.V being assigned to Crevier now, even though Crevier is a very good asset with lots of latent inherent value). NioBay has a metallurgical program that is running now at Crevier; NioBay was lucky enough to get some grants from the Quebec government for this. The future for Crevier is actually quite bright with the development of new chemicals and processes that use tantalum.

 

 


NioBay Metals' Technical Leadership, Management, and Governance  Skip to top

The current management team and board of directors has a well rounded combination of people that each contribute expertise in disciplines necessary for a successful mining entity:

 

Claude Dufresne, – President, CEO, Director

Claude Dufresne, P. Eng., is recognized worldwide for his expertise in the niobium market. Mr. Dufresne was responsible for the sale and marketing of ferro-niobium produced by the Niobec mine in Quebec from 2001 to 2012. In 2007, Mr, Dufresne founded Camet Metallurgy Inc., a company specialized in the sale and marketing of various metals. He participated in economic studies on a number of rare earths, niobium, manganese and bauxite projects and acted as a supplier of various raw material for the steel industry. Prior to that, Mr. Dufresne served as Director of Marketing at IAMGOLD and he worked during 10 years as a metallurgist and mill superintendent for Cambior in Quebec and in Guyana. Mr. Dufresne graduated from Laval University in 1991 with a degree in mining engineering with a specialty in mineral processing and he is a member of the Ordre des Ingénieurs du Québec. He has been President, CEO and director of Niobay Metals Inc. since June 2014.

 

Anthony Glavac, – CFO

Mr. Anthony Glavac has over 15 years of experience in financial reporting, including over 10 years in the mining industry. He most recently held the positions of Director-Financial Reporting and Internal Controls at Dynacor Gold Mines and Interim Chief Financial Officer at Alderon Iron Ore Corp. Anthony was a Senior Manager at KPMG, working with both public and private companies, providing audit, taxation, strategic advisory and public offering services.

 

Jacquelin Gauthier P.Geo., – Vice President, Geology

Jacquelin Gauthier is a geologist with over 40 years of mining exploration and geology. He graduated from Université du Québec at Chicoutimi in applied science in 1975 (geological engineering). His experience includes senior positions with Kinross Gold Corp., Bema Gold Corp., Cambior Inc., Azimut Exploration Inc., Geomega Resources Inc., and Noranda Inc. He worked in Canada, Russia, Central Asia, Africa, and Mexico and has been directly responsible for three gold discoveries. He is a member of the Mining Advisory Committee of the Quebec Autorité des Marchés Financiers and the Ordre des Géologues du Québec.

 

Serge Savard, – Chairman, Director

Serge Savard has been a Partner with Thibault, Messier, Savard & Associates since 1993. Mr. Savard is also involved in numerous fundraisers and other activities aimed at promoting and helping the community. A former National Hockey League star, he played on eight winning Stanley Cup-winning teams with the Montreal Canadiens, two other Cup as General Manager of the team, and was inducted into the Hockey Hall of Fame in 1986.

 

Dawn Madahbee Leach, – Director

Dawn Madahbee Leach has been General Manager of Waubetek Business Development Corporation since 1988. She graduated from the University of Waterloo’s Economic Development Program and earned a degree in Political Science and Law from York and Laurentian Universities. She has experience in program development and management in the public sector and gained her business experience through operating a small retail outlet in her home community of Aundeck Omni Kaning First Nation for 12 years and through private consulting with First Nation communities. She currently serves on the boards of Peace Hills Trust, the Northern Policy Institute and is the Vice-Chair of the National Indigenous Economic Development Board. She also served on the boards of the North-East Local Health Integration Network, the Ontario Development Corporation and Innovations Ontario and was the former Chairperson of the Northern Ontario Development Corporation. Ms. Madahbee Leach also participates on several Federal and Provincial economic advisory committees.

   

Jean-Sébastien David, – Director

Jean-Sébastien David is Chief Operating Officer of Arianne Phosphate Inc., a company working on the development of the Lac au Paul mining project in the Saguenay region. Before joining Arianne Phosphate Inc., Mr. David was Vice President Sustainable Development of Osisko Mining Corporation (2007-2012) where he was instrumental in obtaining the authorizations for the construction and the development of the Canadian Malartic Project. His experience with Arianne Phosphate and Osisko includes project evaluation, consultation and negotiation with regulatory agencies and stakeholders , including First Nations groups as well as the development and implementation of sustainable development policies. He has held various positions in the mining, forestry and environmental operations. After beginining his career with Nutrinor in 1993, he has worked for IAMGOLD, Cambior and Louisiana-Pacific. Mr. David earned a BA in Geology and a Masters in Project Management from the Université du Québec à Chicoutimi.

 

Jacques Bonneau, – Director

Jacques Bonneau graduated as a geological engineer from Laval University and holds an MSc degree from the same institution. He has more than thirty years’ experience in the mining industry and has been an officer of Soquem, Falconbridge Copper Corporation, Groupe Vior-Mazarin, Minéraux Sequoia Inc and Azimut Exploration Inc. He remains director of Midland Exploration Inc. and Crevier Minerals Inc., special advisor for Eastmain Resources Inc., as well as a consultant for CGE Resources, a Québec flow-through share fund.

 

Raymond Legault, – Director

Raymond Legault holds a bachelor’s and a master’s degree in economics from Université de Montréal. For eight years (1997 to 2005), he was an investment executive with ScotiaMcLeod, where he offered consulting services to individual investors and small business owners with respect to their investment portfolios. He was also president and general manager of his own publishing company for 14 years and, prior to that, held different senior management positions for 10 years for a major telecommunications company. Mr. Legault is currently a financial consultant.

 

Derek Teevan (MES Consulting), – VP Aboriginal & Governmental Affairs

Noteworthy local accomplishments include;

 

Detour Gold: Fast tracked 5 environmental assessments in less than two years while successfully negotiating 4 Indigenous Impact and Benefit Agreements. Positioned the mine to start construction prior to receiving Federal approvals.

  • Developed and implemented the corporate strategy to achieve development goals with specific emphasis on timely permitting, enterprise risk management, and corporate affairs.

  • Successfully implemented Indigenous Impact Agreements leading to over 25% employment and an average of $75 million in annual business.

  • Directed the $100 million transmission line development through design, Independent Electricity System Operator assessment, Ontario Energy Board approval and Ministry of the Environment Individual Environmental Assessment.

  • The transmission line construction was set up as a regional First Nation business opportunity.

De Beers

  • Led the provincial and federal environmental approvals (2 Environmental Assessments and 70 permits) and completed 3 Impact and Benefit negotiations.

  • Established a winter road agreement with 4 First Nations to build a 312km winter road. Led the negotiations (First Nation, Ontario Hydro) and all regulatory approvals to build the transmission line which became a First Nation owned asset.

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Note: This article is not intended to be a complete overview of NioBay Metals Inc. or a complete listing of Niobay Metals' projects. Mining MarketWatch urges the reader to contact the subject company and has identified the following sources for information:

 

For more information contact NioBay Metals' head office at: PH (514) 866.6500

 

Company's web site: www.niobaymetals.com   SEDAR Filings: URL

 

 

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*Content found herein is not investment advice see Terms of Use, Disclosure & Disclaimer. This is a journalistic article and the author is not a registered securities advisor, and opinions expressed should not be considered as investment advice to buy or sell securities, but rather journalistic opinion only. Technical mining terms used by the writer may be used/expressed in simplified layman terms and should not be relied upon as appropriate for making investment decisions unless the reader contacts the company directly for independent verification. *Estimates of potential made by the mining analyst and journal(s) are non 43-101 and not from the Company.

 

     

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