Northland Resources (NAU.TO – halted) announced earlier this week that the vessel Star Norita is currently en route to the Netherlands to unload 55,000 tonnes of iron ore at the port of Ijmuiden. The market price of 69%Fe ore is approximately $160/tonne. If we deduct $15/t in shipping and handling costs, we expect Northland to have received a price of at least $140/t FOB for a total revenue of approximately $7.5M.
Meanwhile, the TSX has initiated a trading halt, and the shares of Northland are expected to remain halted until they get delisted on March 18th. We are increasingly annoyed with this situation and hope Northland will become tradeable again on any of the Canadian stock exchanges.
Disclosure: The author holds a long position in Northland Resources SA. Please see our disclaimer for current positions.
