Upmarket----the valuation will be for 100% of the Roseby project that is covered by this option---then Xstrata has the choice to either pay 51% of that valuation or walk.If they take up the option,Xstrata will probably try to buy the remaining 49%(IMO)---but my thoughts are that they would have to pay a premium to get Altona to give it up---otherwise it will be business as usual,and Altona will get 49% of the profit from whichever way the project goes and will also be up for 49% of all costs------we cant lose either way---plus there is much more potential to increase the reserves at hand with the few other leases not covered by this option.I truely believe this will be one of a few joint ventures that Xstrata go with,as the few leases not covered by this option would probably be not good enough as stand alone projects-(which would leave Altona with a few almost useless leases if they sold the other 49%)--but could be handy to prolong the mine life of the whole show.I also agree that Ernest Henry will have no influence on the valuation.
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