- New Cliffs Natural Resources (CLF -6.5%) CEO Lourenco Goncalves says Ontario’s Ring of Fire probably will not be developed for decades or that anyone will buy CLF’s rich chromite assets in the region in the near future.
- A handful of junior mining companies, including KWG Resources (OTC:KWGBF) and Noront Resources (OTCPK:NOSOF), are more optimistic and want to buy CLF's’ Ring of Fire properties, but Goncalves says the companies don't have the money.
- The CEO says he does expect to either shut down or sell a stake in high cost Canadian operations, and that CLF can lower its cash production cost in U.S. operations over the next few years to the low $50s/ton vs. ~$59 in Q3, as well as maintain its dividend.
- Shares today are giving back some of yesterday's 22.5% gain; CLF was upgraded today to Outperform from Neutral at Macquarie but downgraded to Sell at Brean Capital on valuation.