Mosaic is now sitting on a huge gas reserve in Queensland , they mentioned that after Origin and Santos they have now the greatest gas reserve in the region. With new major gas contracts being rewarded next year and companies who after the Moomba disaster wanting to diversify suppliers, we can expect Mosaic to do well with these new contracts. Keeping this in mind I feel confident that Mosaic will get a re-rating and my price target will be 50 cents.
And this without being a take-over target by one of the majors which we can not easily dismiss at this stage.
(Mosaic will now be a direct competitor in any new gas contracts negotiations)
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