May 2011 report from Foster was the one (on a NPV for Iron Valley). Their NPV was 322million.
Based on their assumptions IV could generate around 2.5billion in free cash flow over the life of the mine. They also assumed a 1.2 billion capex.
So many variables in the dealing of course, but IV would be worth a fair chunk more now to IOH if they can avoid most/all of the CAPEX.
This will also have to add some value (in de-risking) to the other deposits as it shows that IOH can bring deals to the table.
At a minimum some great news here will bring us closer to the price targets we keep getting told about. 2-3dollars in a rush, then see where we go from there.
IOH Price at posting:
$1.54 Sentiment: LT Buy Disclosure: Held
