fmg / fms, page-5

From AAP 12:23am;
The last bit is the most interesting for FMS holders.

MELBOURNE, Nov 11 - A Hong Kong company has ignited
speculation it may seek to build a new railway line in the Pilbara, after making audacious bids for two emerging iron ore producers.
It was revealed on Thursday that Wah Nam International Holdings Ltd had made two simultaneous takeover bids for separate emerging iron ore producers in Western Australia's Pilbara region.

One bid was for Brockman Resources Ltd, valuing the company at $932.2 million, or $6.52 per Brockman share.
A separate takeover bid targeted FerrAus Ltd, which Wah Nam valued at $229.97 million or $1.30 per FerrAus share.
Shares in Brockman leapt on news of the takeover move, and at 1219 AEDT were trading at up 16.5 per cent at $5.51, while FerrAus was up 22 per cent at $1.05.

Wah Nam is a Hong Kong-listed mining and transport company with a market capitalisation of about $A8.51 billion.
It currently holds about 23 per cent of Brockman and 19.9 per cent of FerrAus.
Boards of both Brockman and FerrAus have urged shareholders to take no action.

Senior resources analyst with Hartleys, Andrew Muir,said the bids were likely Wah Nam trying to consolidate the two iron ore juniors, so they could justify building a train line to export their production.
He said there were a number of so-called "stranded" iron ore juniors in the Pilbara, which included Brockman and FerrAus.
"They don't have access to BHP, Rio or Fortescue's railway lines, so their deposits are effectively stranded," Mr Muir said.
"They can't mine them or export them, so what they need to do, and we have been expecting this to happen for a while ... is to have sufficient critical mass to be able to justify the infrastructure to mine and export these deposits.
"Putting two of these companies together is one way to do that, and it makes sense from a logistics perspective," he said.