The recently announced tax credit extension for exploration (which includes EA and consultation with local groups) should make it easier for exploration companies to raise money.

Minister Rickford discussed the tax credit extension, and the grant of $3/4M to the the 4 FNs for a (EW) road study. He also mentioned that the EW road would be essential for developing NOT Ni mine, and exploration of other stuff by other companies in a BNN interview, link below (from Babjak1).

http://www.bnn.ca/Video/player.aspx?vid=563487

It would have been good if he mentioned KWG when he said "other companies", but somehow he did not find an opportunity to say it. He did mention CLF and indicated that CLF abandonned the chromite project was due to internal money problem. This is certainly true. CLF has no money to continue with the chromite development, but it was hiding behind other reasons for stopping the project such as the EA process, the FN issues, goverment commitments ($600M contribution for its NS private road on KWG claims, and electricity subsidy).

Perhaps, Rickford/Gravelle wanted to wait until the Appeal to the Appeal in the CLF vs KWG court case to wrap up before saying/doing anything (for fear of legal complications?).

Ditto for Frank, he may not want to say anything (so, we should not expect an update anytime soon). Someone said, CLF Goncalves must decide if he wants to go on with the case this week. May be someone could have this verified.

An out-of-court settlement along with the disposition of CLF chromite assets and CLF 14% of KWG would be the best solution. What Frank needs is a senior (or two) with some small amount of cash ($50M would be plenty) to pay for CLF assets, and a lot more cash (billions) to develop the chromite deposits. This would impress Rickford (and Gravelle) and help them to spend the $2B (assuming $1B/prov + $1B/fed) for RoF infrastructures such as the NS RR (for the bulky chromite ore/concentrate) and service road.

goldhunter