HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)

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Message: Let’s hope we don’t get burned by this Ring of Fire

While the cautionary note is quite justified, it appears to me very one-sided in that it fails to assess the impact of CLF's commitment to a long term Cr extraction operation. That is a major economic anchor for the balance of the RoF to develop on. As well, the native issues are simply business issues that are part of the greenfields challenges faced by resource companies in much of Canada. It is simply inaccurate to point to this as a peculiar negative to the RoF. If there is an important negative factor not mentioned, it would be that market caps can tend to reflect a little optimism as to time discounting and eventual costs. But to suggest that the corporate and government efforts are somehow wild-eyed is now just inaccurate. CLF will develop a mine and other commercial deposits will be exploited.

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