Your sets of NOT valuation modelling inputs that is. Today, the BoC made a somewhat gallant but rogue statement about rate policy. Instead of waiting to see what the U.S. Fed Reserve does, or what the Canadian economy sustains after removal of fiscal stimulus from the provinces , they are simply going to raise rates in June. Since they tend to be good to their stated bureaucratic dogma, expect that to really happen (90% chance). Stop that urban housing bubble before it starts, even if it does not reflect the broader economy.

If the US does not raise rates until much later this year , or even well into next year, we could see the loonie trading at a 10 to 15% premium to USD within six months to a year, (depending on how high they raise rates to stamp out the minor bit of inflation threatening their 6 digit pensions). A soaring loonie is already killing any incentive for majors to commit to base metal mine development in Canada, and this will confirm that as a longer term trend. It matters little what lies in the ground if development time and currency risk make the economics very risky. The majors are now opting for low cost jurisdictions with minimal development delay /risk. Canada will be moving down the list quickly except for precious metals and DSO style deposits that can be turned to cash flow quickly. Politically safe yes, bit at an ecsalating cost.

Canadian junior base metal companies , and even some Canadian weighted intermediates, look very sketchy in this environment, even the exceptional ones like NOT. It will take even more exceptional drill results to take pressure off valuations. Since BoC gives NOT a rat's ass about ground level economic activity, also expect a very cool investing environment generally for the juniors and Cdn base metals going forward.