Currently the reported resource is 511000000 tonnes @54%. This equates to 275940000 tonnes of Iron Ore.
The price I think that FMG has agreed to is $60 - $65 per tonne so this makes the IGV of the ore FMS has is $1,655,640,000/. If we say there are Two billion Shares on issue this means each share is worth 82 cents per share.
I could be wrong in my calculations so please do your own research.
I would prefer FMS not be taken over but if they do not want to mine themselves then they should sell the resource for the figure above, then buy back half the shares on issue and return to diamond mining.
But at the end of the day I would prefer FMS to become a IO producer
FMS Price at posting:
14.1¢ Sentiment: Hold Disclosure: Held
