When you read this and see the market cap of Golden West you realise how massively undervalued TRF is at only about $50 million:
"Fortescue Metals is worth $23.7 billion, and is yet to ship any iron ore, while companies such as Midwest have gone from 89c a year ago to $4.84, and Golden West is worth more than $211 million.
In simple language, Fairstar, which has a market cap of $22 million, wants Golden West. It has lobbed a reverse takeover offer (seven for one) without stumping up any cash - probably because it can't afford to - and it is hell-bent on getting what it wants.
The prize is Golden West's Wiluna West iron ore deposit, which is one of the best iron ore discoveries ever made in WA's Mid West. There is currently a resource of 86 million tonnes, at 60.1 per cent iron, and potentially 200-250 million tonnes. Golden West is targeting a minimum of 100 million tonnes, which is needed to support a 10 million tonne per annum mine with a 10- year life. Given high grade iron ore is worth about $US50 a tonne on a long-term contract basis, the potential is enormous...."
Comment: Just sticking to the iron ore alone, TRF's 60% equity iron targets have potentially 600 million tonnes. (Imo I suspect significantly more, particularly based upon a recent IFE announcement.)
In addition, TRF are finding iron ore targets in their 100% owned ground.
