Seeking Alpha
0
All posts from Seeking Alpha
Seeking Alpha in Seeking Alpha - Read, Decide, Invest.,

Nevsun Resources: Substantial Upside In Eritrea With A Huge Margin Of Safety

Nevsun Resources (NYSEMKT:NSU) is a mining company with both a producing mine and exploration interests, all in the country of Eritrea. At its current valuation, Nevsun shares present significant potential upside with a large margin of safety - characteristics seen in classic value investments. Nevsun is exceptional for three principal reasons: (1) it operates the Bisha Mine, one of the most profitable base metal mines in the world, (2) it has significant working capital, particularly compared to its current market cap, and (3) it is the only company actively exploring Eritrea, an extremely promising jurisdiction for future mineral discoveries. My partnership has held NSU since February 2013, with an average cost of $3.58 per share. As of January 15th, Nevsun was trading at…