Opinion: Speculative buy - there probably is more in this one. Resistance between $0.65 - $0.70 may well be tested.
The company today said that they had signed a framework deal to supply iron ore to China's Sinosteel Corp. Sinosteel is a raw material supplier and sales-agent for Chinese steel mills and the group imported more than 15 million metric tons of iron ore in 2004. The deal covers product from MIS's Weld Reange and Koolanooka projects, both located in WA. The prospects are attractive in that they are close to the major port of Geraldton. The formal agreement is targeted to be signed by 30th September and will involve Sinosteel participating financially in a bankable feasibility study, and purchase agreements for the ore. "The importance of Sinosteel having access to iron ore products is essential to the ongoing success of our organization," said Sinosteel President Tianwen Huang. MIS expects to produce its first ore later this year, and to achieve a production rate of approximately 1 million tonnes per year
Regards,
MIS Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
