akm jorc out, page-34

I'm not exonerating management but let's get a little perspective on things.

May 28th
"At 15.5 cents Australian, Aspire is valued by the market at A$96.8m, while at end March 2012 they had $28.7m of cash, thus valuing them at around US$0.50 per tonne of marketable coking coal, which appears cheap. This appears to more than adequately cover the expense of building railway connections to the project." Minesite.com

"May 28 (Proactive Investors) Aspire Mining (ASX: AKM) has cemented its Ovoot Coking Coal Project as one of Mongolia’s largest coking coal reserves with the delivery of a maiden 178 million tonne open pit coal Reserve. The project is rapidly taking on Tier 1 class dimensions."

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A potential Tier 1 asset valued at around $80m!

A maiden reserve of 178mt, probably rising quickly to 200 mt. And, let's not forget that it's the reserve which delivers the saleable coal, not the resource. Yes it's a long way to the ports but that's where the higher prices lie and the cheap open-cut mining will offset the transport to an extent we should learn in the PFS.

No, the resource didn't increase in size as hoped but it improved significantly in quality (+63 mt in 'Measured') and I'll take that any day. Many of those selling today presumably would've preferred a larger total headline resource number which would've probably had much/most of the increase in the Inferrred category. I wouldn't. And there's plenty of time to show just how much coal the Ovoort Basin contains. I believe that only 20% of AKM's area has been explored.

Yes, I was disappointed but getting mad gets you nowhere. So I bought today at prices I hope will seem ridiculous in time.

I saw nothing in the announcement which I thought would alter Bell Potter's 55c target.

Good luck all.