is a takeover imminent?, page-15

I've always thought that BRM could very conservatively assume an insitu value of at least $1/tonne if it secures rail.

If they have 1.2 billion tonnes of DSO equivalent that equates to an EV of $1.2B. To this you should add their cash and other asset value.. say $100M, given they have $90M of that in the bank. So that gives them $1.3B. With 136M shares (or thereabouts) on issue this would give them a SP of almost $10 before they even need to think about cap raising. Rail is the key... always has been with BRM. They will definitely find a buyer for their ore. FMG has, and its final product is far from vanilla DSO.

Given this, it makes you wonder why WR would sell out for $3.11 if rail was at all close.. but who knows, maybe he just wanted to be generous to the Chinese.