There is always a discussion going on when it comes to financing. At some point in time (unless we get bought out before hand) we will require financing. It is a totally false impression that some people have that “there is no money out there to finance any junior mining operations”. This downturn has indeed hurt some banks and therefore they have to scrutinize their lending habits. Remember this one point, money does not disappear! It just gets shifted around.

There will always be money for profitable ventures no matter what industry it is in. Investing is all about making money always has been and always will be. Many investors don’t even know what they are invested in such as mutual funds. For instance there are “Socially Responsible Investments” or (SRI) their mandate is basically no sins, no military and clean environment. On the flip side of that is Mutual Discovery fund which the top five holdings are tobacco companies and number six is in the alcohol industry. It has been a top quartile performer 3 of the last 4 years and assets are building. In its global equity category it ranks 63rd best performing fund out of 527 funds. No SRI’s are even close in that category. Therefore “who cares as long as I make money”, seems to prevail for most.

I am in the investment industry and I know for sure that investors cash position has been growing steadily (shift from equities to fixed term). Sitting in accounts that barely keeps up with inflation and if you count income tax well they are at a net loss position. That money is looking for a new home! Also record profits from Exxon and Imperial oil just came out they have loads of cash. But the key for us is the steel industry who are also making obscene amounts of money. Of course you can’t have this discussion without involving China. China has had a double digit growth rate for years. They own piles of US dollars. In fact the threat to the US from China is less in the cold war years where there was a nuclear threat than today if China decided to dump their US currency!

Who has all the cash now, the BRIC (Brazil, Russia, India and China) countries followed by huge global commodity conglomerates. One common denominator to this is they all need moly to continue to grow.

Let me quote an advisor to our board Mr. Don Davidson in an article from 2006.

“What you are really mining is money,” veteran geologist Don Davidson told us during a recent interview about molybdenum. It applies to any mineral, whether gold, silver, copper, uranium or, of course, molybdenum. “All mining, regardless of the commodity, is just really based upon your mining dollars. It’s the value of the particular element and whether it is economic to extract it or not,” he explained”.

TTM is all about mining money and lots of it!

The economics of this project will be staggering!

Mining money, gotta love it.

BBOB