A report produced by Independent Investment Research (IIR) indicates that Aim-listed Bluejay Mining is trading at a significantly reduced rate and that there is a benefit to its $ 301 million sum-of-parts valuation as its projects progress with development.

The company’s Dundas ilmenite project in Finland alone is valued at $ 219 million, due to the extent of its reserves and resources, as well as being near production. The fully licensed project will be ready to go with construction once funding discussions are finalized; production is scheduled for 2024.

Bluejay is also developing the Disko project in Greenland, where it has a joint venture with KoBold Metals that will allow Bluejay to move the project forward without spending its own funds, as well as a joint venture project alongside Rio Tinto called Enonoski, Finland.

IIR says Bluejay has the first-mover advantage in Greenland and some of the most promising exploration license areas.

The report says Bluejay has high exposure to critical minerals including titanium, nickel, cobalt, platinum, palladium and zinc, which are expected to benefit from strong demand from the United States and Europe.

The report defines Bluejay’s weaknesses as the short nine-year lifespan of the Dundas mine; however, the project has a robust net present value and there is potential for expansion.

“The main threat to Bluejay’s immediate development plans would be if the company is unable to secure financing to develop the Dundas project, although this seems unlikely,” IIR said.

He adds that the high latitude of the Dundas project comes with some challenges and costs inherent in arctic engineering, but the Bluejay team are used to working in Greenland, which should help alleviate those challenges.