12 mth price target $1.40, page-50

maybe the problem is $68/t - - magnetite obviously more costly to extract than hematite which costs about $30-$40/t....REMEMBER - all the instos that invest millions in these companies are using $90-$100 long term pricing in their models for iron ore! Thats always been the problem with mining stocks - the long term valuations use much lower prices than current market prices. 68/tonne doesnt leave much room for a good margin, thus they must produce as much as possible to bring in higher profits per share. Once they expand production to high levels, theyll be fine! Its cheap but the risk of debt and lower margins than other IO players with cheaper costs is being priced in. Still, its cheap as!