no decision yet

See these two stories

http://www.smh.com.au/news/business/cazaly-verdict-still-in-balance/2006/04/13/1144521461183.html
Cazaly verdict still in balance

By Jamie Freed
April 14, 2006

PUNTERS hoping iron ore upstart Cazaly Resources will win control of a tenement it claimed when Rio Tinto was caught napping will have to wait a little longer for a final decision.

There were strong rumours that the West Australian Resources Minister, John Bowler, would decide who owned the Shovelanna iron ore deposit after the market closed yesterday.

Speculation was that Mr Bowler preferred to let investors digest the news over the long weekend so that no rash trading decisions were made.

That did not stop punters from pouring into Cazaly shares on Thursday. The stock rose 12 per cent, or 22.5c to $2.09. And joint venture partner Echelon Resources, which has a 14 per cent stake in the deposit given a Cazaly win, saw its shares rise 11 per cent, or 10c to $1.00.

Mr Bowler declined to release a decision on Thursday, but he is understood to be more concerned about the fate of Cazaly's share price than Rio's. The loss of the deposit is unlikely to mean much for Rio. The big mining group has not touched Shovelanna in 20 years because it is located 100 kilometres from Rio's nearest infrastructure and it isn't likely to develop it for years to come.

Shovelanna is adjacent to BHP Billiton's Orebody 18 mine, and Cazaly has already sewn up a deal to sell BHP all of the iron ore from the deposit if it can prove up reserves. Cazaly has also gained financial backing from the big South African bank Investec.

Before Cazaly announced it had pegged Shovelanna last September, its shares were trading at about 29c. The company was just one of a swathe of junior gold explorers in Western Australia.

But overnight Cazaly became a common name in the resources industry after it managed to snag Shovelanna out from under Rio's nose. Rio has argued its exploration licence only lapsed due to a late courier delivery that was out of its control.

In February the West Australian premier, Alan Carpenter, told ABC Radio in Perth that investors must exercise caution when dealing in Cazaly shares.

"When I saw the speculation that was going on in early December …, I thought I have to say something here to just warn people that they really should wait," he said. "Before they start speculating on the outcome, they should wait for the outcome because I don't want to see people lose their money if the outcome goes against them."

But for the many investors who have poured into Cazaly stock in the hopes of a win, that statement is likely to provide little comfort.


http://tradingroom.com.au/news_research/index.jsp?page=aap_article.jsp?id=119349
Cazaly pushed up by Rio Tinto decision
Source: PERTH AAP
Date: 2006-Apr-13 05:56 PM

Shares in iron ore hopeful Cazaly Resources have jumped amid speculation that a decision on its dispute with Rio Tinto over a tenement in Western Australia will be handed down soon.

Cazaly shares had picked up 22.5 cents, or 12.06 per cent, to $2.09 on Thursday.

WA resources minister John Bowler is expected to make a decision soon on the ownership of the contested Shovelanna deposit in WA's Pilbara.

Cazaly pegged the tenement last September, four days after Rio Tinto failed to renew its exploration licence for Shovelanna.

If Cazaly is successful, it will immediately kick off a $6 million exploration program, sponsored by joint venture partner Echelon Resources.

BHP Billiton has agreed to purchase the ore from the project, with first production expected within two to three years.

Mr Bowler's office declined to comment.
By Rebecca Keenan