hypothetical, page-2

re: hypothetical/clues A lot of clues in this previous post.

Lost WA ore surfaces in China battle


By John Phaceas, Perth
March 13, 2006
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A LONG-OVERLOOKED iron ore deposit in the Kimberley has become the latest battle ground in China's struggle to lock up supplies of the key steel-making material.

While Australian and Chinese diplomats lock horns over China's efforts to cap the price of iron ore imports, aggressive Chinese iron ore trader Sinom is mounting a push to oust the board of tiny West Australian explorer Resource Mining Corporation.

The contest for control of the small but rich Argyle iron ore project, 120 kilometres south of Wyndham, has also enmeshed Mt Gibson Iron and South African mining and steel baron Ralph Oppenheimer.

Sinom is one of Asia's fastest-growing iron ore traders, with plans to secure an annual production base of about 10 million tonnes.

Sinom was an early investor in RMC, after it acquired the Argyle project in 2004, and now owns about 6.5 per cent of the company.

RMC has scheduled an extraordinary meeting for April 11 after receiving a notice from Sinom, seeking to oust newly appointed director Peter Jermyn and incumbent chairman Sarbir Singh Jholl.

In their place, Sinom nominated former Bao Steel executive Zhang Chi, former Allstate Exploration and Gympie Gold executive John Leach and Mt Gibson Iron finance director Alan Rule. Mt Gibson is RMC's biggest shareholder with 13.2 per cent, while Mr Oppenheimer's Dominant Holdings last month acquired a 6.1 per cent stake from the Oppenheimer-controlled steel group Stemcor.

RMC executive director Warwick Davies said he was as much in the dark as investors about Sinom's motivation.