I think they both got a good deal.I don’t know much about MGX...

I think they both got a good deal.

I don’t know much about MGX but they lost a substantial holder a month ago. Not saying they’re a bad buy or anything but they may have wanted some cash, they just spent large amounts on upgrades at Koolan island so maybe they wanted to offset that expenditure.

Their shareholders seem to be happy with the 60,000,000 Fenix shares they just acquired. And why would MGX cut such a large part of the deal into Fenix shares if they thought they were selling them rubbish?

Fenix has historically returned good earnings, It’s problem was always longevity.

The replacement assessment valued the storage and rail at 80m.

The storage sheds could be used for storing lower grade ore in the tougher years to allow for profits to remain.

The haulage side of the business from iron ridge could potentially cut its trip in half and drop ore off at shine to reduce capex further. That ore could then move by rail to port.

Any adjacent unexplored ore bodies instantly become more valuable.

Surrounding companies such as Scorpian may also desire use of this rail.

It’s much easier and cheaper to add to a rail than it is to build one from scratch. Rural rail cost significantly less than urban rail.

I read a comment stating all the copper and electronic equipment has been stolen from shine. I’ve got some experience on iron ore mine sites and that seems odd to me. Not much copper or electronic components to steel. Maybe some dirty isolation switch or a sensor? Maybe an old microwave. There’s some copper in the HV cables but not enough to break a bank and it tends to require a EWP for removal in some parts. I guess it could be possible but seems odd.

My main concern is manning and the condition of the chutes and belts which need regular change out and might have been neglected leading up to its idle.

Sorry to answer a question with a question but could you crunch those numbers for me? How did you get to fifty million?

Fenix is a cash positive company so a 2 year return on investment isn’t my main concern. All I would like to see is an iron ore price adjusted increase in profits. And I would be happy with a 20% increase but I think we can expect more than that.