Nautilus Minerals - NUS.V Close:                  5.65   +.75 /  +15.31% 52 high/low:         5.90 / 1.84 Volume:                 1,305,193

C/S Outstanding:  30,843,446 Fully Diluted:  49,879,904 Market Cap:  174,265,470

Since we first covered Nautilus after their initial run-up from $2 to $4 at  3.30 since then the share price has almost doubled peakign at $5.90 on Friday before closing at $5.65, a 71.21% return on investment in less than a month!   When they announced the huge increase to their ladn package aroudn PNG we had no choice but to include them in our watch list.  There is simply too much potential to ignore this relatively undervalued company. 

There are several reasons why Nautilus is a great ground floor company to get into on any pullback.  WHY?
They have 3 majors invested; Barrick (5.8%), Teck Cominco (9.2%), Anglo American (10.1%) along with Russian iron ore giant, Epion (19.9%).   The total ownership amounts to  45% of Nautilus minerals (not including directors holdings).  The float is very limited and with anticipation of getting closer to production  in a couple years, the share price will appreciate significantly as we get a better handle on the tonnage of the seafloor deposits.   The areas that they are exploring are huge and offer up a relatively inexpensive way of mining. 

So far Nautilus' business plan has been impeccable.  They keep on raising the financing every step of the way.  They have option off a large portion of their seafloor deposits to Teck Cominco so they can concentrate on the Solwara projects.  A great strategy to focus on what at this stage is the  most advanced projects while still taking advantage of the JV deal to get Teck to advance some of the other projects that would otherwise sit dormant.  Nautilus has tons of cash in the bank, some big time heavy weight backers ready to step in and take charge.  They are on the ground floor of a new frontier in undersea mining and it looks like others are startign to see the potential getting on board.  Teck so far in my mind being the biggest as they have the resources to advance some of Nautilus' other projects. 

I can't stress enough of how this is a great ground floor opportunity with Nautilus growing over teh next few years into a bgi-time mining company.  They are the leaders in thsi new field and will conitnue to grow and develop at a rapid pace.  I woudl conservatively put a shortterm share price target of at least $10 with a longer term vision of a market Cap in the billions.  There are many variables that can happen between now and then, but Nautilus has assembled a team of excellent people to see the job through.  Undersea mining is already a proven technique, it has just yet to be used in the precious and base metals industry.


To read more posts on Nautilus click on the links below...

http://www.stockhouse.ca/blogs.asp?page=viewpost&blogID=173&postID=7498

http://www.stockhouse.ca/blogs.asp?page=viewpost&blogID=173&postID=7353

http://www.stockhouse.ca/blogs.asp?page=viewpost&blogID=173&postID=6861