strike a bigger deal, page-16

The market is a strange place.

Here is SRK in comparison to FMG's reserves (iron-ore only):

Shares on issue:

SRK = 57,522,240
SRKO = 20,030,259
Total = 77,552,499

Last price $2.60.

SRK $149 million Market Cap

Apurimac: 730mt high grade ore
Cuzo: 650mt high grade ore
Total: 1.38 billion tons (minimum)

includes 21 mil ton JORC
upcoming drilling may prove an additional 200+ mt JORC.

Plus Australian iron ore projects
Plus Uranium spin-off

----------------------------------------

FMG

Reserves: 1.1 bil tons high grade ore
includes JORC 121 million ton

FMG 264,427,536
MKT CAP: $4,17 billion
Last price $15.80

----------------------------------------

In comparison, reserves are similar. FMG has higher JORC but soon will SRK.

SRK has FE samples up to 67% FE!!!
According to SRK the peru iron-ore is the same if not higher grade ore than the super-enriched gene ore found in WA (Brockman/Marra Mamba).

FMG has 4.5x the number of shares on issue (FPO's only not including other options, dilution, etc)

I think the share price will correct itself afer the drilling results come out and JORC reserves increase.

SRK with a 3 bil market cap @ 80% stake (2.4 bil mkt cap) = $31.00 (fully diluted)

food for thought... go figure it out!!!!