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Home > Junior Resource Stocks > Cline Mining Corporation
The Ubika Research Junior Resource stock watchlist

Cline Mining Corporation (Symbol: T.CMK)

Company Name: Cline Mining Corporation
HQ Location: Toronto, Canada
Company Website: www.clinemining.com
Shares Outstanding 162.24 Million
Closing Price (March 14, 2011) $3.49
52 week (Low – High) $0.65 - $5.04
Market Cap: $566.23 Million
Average Daily Volume 2.87 Million shares
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The Ubika Research Resource Stock Watchlist is a feature that profiles junior mining stocks. Visitors will discover high potential Canadian mining stocks, the best gold stocks, small cap energy stocks and junior gold companies through this very popular feature.

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Cline Mining Corporation

Business Overview

Cline Mining Corporation (TSX:CMK) (TSE:CMK) has significant metallurgical coal property interests in British Columbia, Canada and in Colorado, U.S.A. Cline Mining Corporation is a coalmine development company focused on the exploration and development of metallurgical steel making coals in Canada and the U.S., iron ore in Madagascar and the Cline Lake Gold Mine Property in northern Ontario, Canada. Cline Mining Corp. is redeveloping the once highly productive but now abandoned New Elk underground mine in southern Colorado, USA + More info

What is interesting about Cline Mining Corporation (T.CMK)?

  • Cline’s New Elk Coal Mine has a mineral resource estimate of 315 million tons of coal in-place (87.6 million tons Measured and 227.4 million tons Indicated) as detailed in a NI 43 101 technical report.
  • Cline’s New Elk coalmine has recently commenced mine production of high-volume metallurgical coal with production slated to reach a rate of 3 million tons per year by the end of 2011. Overall production in 2011 is anticipated to reach approximately 1 million tons of coal and will ramp up exponentially throughout the year, with 80% of the annual production scheduled to take place in the last 6 months of the year.
  • Well regarded management team.
  • New Elk Mine is accessible by a paved highway and has good infrastructure and past workings
  • Mine and environmental permits in place
  • Right-of-way for rail road spur available and working to build rail line
  •  Proximity to major seaports and steel mills via BNR rail system, providing access to continental customers and export coal terminals on US Atlantic and Pacific coasts
  • Mine Economics as outlined by the technical report is compelling. Assuming a 20 year mine life, at $168 dollar per ton of metallurgical coal, the project has a Net Present Value of $1 billion
  • Because it is a brownfield development and is rehabilitating a past mine, the amount of capex requirement is smaller than greenfield development and permitting has been relatively easier
  • Colorado is a safe and mining friendly jurisdiction
  • Sustained worldwide demand for high grade metallurgical coal is expected as it is a key input in the steel production and hence tied to global economic growth, particularly growth in emerging markets
  • Not much high quality metallurgical coal is mined in China.

Risks

Coal Production and mine development is fraught with risks and safety issues. Any adverse safety issues can significantly delay this project and affect the project economics. Project economics can diminish if the metallurgical coal prices fall significantly due to any global economic slowdown.

Cline Mining Corporation. News

Ubika Research Disclosure

Ubika Corporation, its affiliates or its divisions including smallcappower.com are not registered with any financial or securities regulatory authority, and do not provide nor claims to provide investment advice or recommendations to readers of this report. The information in this report is designed to present the opinion of Ubika’s analysts and what they believe to be the objective prospects of the highlighted company.

Copyright

The content on this site may not be reproduced in whole or in part, or further distributed or published or referred to in any manner whatsoever, nor may the information, opinions or conclusions contained in it be referred to without in each case the prior express written consent of Ubika Research, a division of Ubika Corporation.

Disclaimer

Ubika Corporation, its affiliates or its divisions including smallcappower.com are not registered with any financial or securities regulatory authority, and do not provide nor claims to provide investment advice or recommendations to readers of this report. The information in this report is designed to present the opinion of Ubika’s analysts and what they believe to be the objective prospects of the highlighted company.

Cline Mining Corporation may enter into a commercial relationship with Ubika Corporation, Investor Cubed or our affiliates for research coverage and capital market services and may pay fees and or shares or stock options or warrants for being mentioned at smallcappower.com. Hence the highlighted company information is an advertisement only and does not and will not constitute an offer to buy or sell securities in the highlighted company.

Was any fee (either in Cash or in Stocks/Options) paid by the company to smallcappower.com or its principal’s Ubika Corporation and/OR Investor Cubed Inc for providing services No
   
Common Stock/Options Ownership in Cline Mining Corporation  
Analyst(s) No
Analyst’s family members No
Analyst’s firm, their affiliates and/or subsidiaries No
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