Ann: Maiden Mineral Resource at Western Pilbara S, page-7

re: Ann: Maiden Mineral Resource at Western P... Time for valuation update.

IOH now have 1040Mts, with 145 million shares on issue (fully diluted), and using a valuation metric of $0.80/t, the share price valuation works out to:

1040Mt x $0.80 / 145 million shares = $5.74

I've based the above using the method that Fosters Stockbroking used. Their valuation metric for Iron Ore was based on the BHP bid for UMC, which has an implied resource valuation of $1.24. So I have discounted the above significantly.

If I use $1/t the share price valuation is:
1040Mt x $1 / 145 million shares = $7.17.

And if I use the UMC valuation of $1.24 the price is:
1040Mt x $1.24 / 145 million shares = $8.89

IOH shares seem pretty cheap based on the above.

Butchy.