buddy, page-50

Very few companies actually "Prove" their resources before they mine them, hence using the JORC resource estimate. In any case, you stated they had and "average grade", I was simply pointing out that over 40% of what they have found so far is above 60% fe and that is in no way "average".

Do yourself a favour and read the analyst's reports on the FMG website. It shows a fundemental undervaluing of FMG compared to BHP and RIO based on iron ore assets alone. Now this was based on a share price of about $42 or so, but with the increase in reserves, BHP takeover of RIO and extimated ore prices for next year, the prices around $59 look ok.

It shows the estimated EBITDA % of 74% for FMG, vs 59% on average for Rio, BHP and CVRD for 2008/09. By 2010 this gap is expected to expand to 26%. That means FMG's costs are expected to be HALf of BHP/RIO/CVRD. (26% costs initially for FMG vs 41% for BHP/Rio - if this extends to a 26% gap as predicted it will be 26% costs for FMG and 52% costs for the others)

I dont really care, I like them and think they'll get to $10 by May (after 10/1 split). Thats a good enough return for me. You guys can do what you want.