Research Note th 9 April 2015 Suite 5, Level 8, 99 York Street, Sydney NSW 2000 P: +61 2 9299 5001 I F: +61 2 9299 8001
[email protected] www.proactiveinvestors.com.au Northern Mining Limited Recommendation: Speculative Buy Northern Mining eyes mid-term gold production Sector: Materials o Northern Mining Ltd (ASX: NMI) is a Western Australian resource explorer that holds prime gold prospecting acreage located around Recommendation : Speculative Buy Kalgoorlie Boulder, on one of the world’s most productive gold belts. ASX Ticker Code: NMI o The acreage is known as the East Kalgoorlie Project and includes Share Price: $0.027 prospects at Blair North, Kanowna Lights and Snake Hill. 52 Week: - o Early stage exploration at Blair North has identified a structural High: $0.057 corridor that is 2 kilometres long that links the Company owned George’s Reward gold resource to an additional 1 kilometre of identified gold Low: $0.018 mineralisation at the northern end of the project area known as the Current Ordinary Northern Zone Deeps. Shares: 938.4M o Blair North forms the northern extension of the Cannon Gold Milestone shares (max): NIL Project mineralisation that is being jointly developed by Southern Gold (ASX:SAU) and Metals X (ASX:MLX), with Blair North constituting around Options: NIL 80% of the known gold strike line. Cash: $5.5M o The Cannon Gold Project currently includes shallow JORC gold Market Cap: $25.3M resources of 100,400 ounces that are contained within the southerly 20% Enterprise Value: $19.8M of the overall strike line, with the northern end of the Cannon open pit contiguous with gold resources owned by Northern Mining at the George’s Reward gold prospect.