So, the question in valuing CZR’s Robe Mesa asset becomes one of...

So, the question in valuing CZR’s Robe Mesa asset becomes one of assigning a notional value to its known 37.5Mt of 56% iron ore.Even if you apply a low-ball $10/t of iron ore you arrive at a value for the deposit of $375 million – 5.5-times CZR’s current market value.But if you increase the price to $20/t, which a big miner could afford to pay for a fully-drilled ore deposit of the same specifications, it is currently mining and it has equipment ready to move over the border and start work, the value of CZR’s Robe Mesa rises to $750 million, and perhaps more as the resource expands with ongoing site work.In other words, CZR could be heading for a big pay day – especially as it is now in a position to create bidding tensions given the launch of the Onslow iron ore project which means that there might be two potential buyers.