News

December 02, 2008

Landore Resources Turns Its Attention From Nickel To Iron Ore

By Rob Davies

Explorers with only one project to their name are always vulnerable to bad news about the one or two commodities that the specific deposit contains. When the market turns sour it doesn’t matter how good the drill results are, all news is taken as bad news as it reminds investors they still have exposure to that particular metal. Diversified explorers, like Landore Resources, have the advantage that when one metal is out of favour they often have exposure to another - hopefully one that is still in favour.

Landore Resources has lately been known as a nickel play on the basis of its 10 million tonne resource at Junior Lake in Ontario. The two deposits there, VW and B4-7, each have grades of about 0.5% nickel, grades that are of great interest when the price of nickel is US$30,000 a tonne and more. But at prices closer to US$10,000 a tonne, the market is less interested. Landore’s chief executive Richard Prickett knows there is little mileage to be had in promoting this asset in these conditions,...