aqc/rio/peabody, page-4

You are correct that this coal is an underground target closed off to the east by a fault with the jellinbah mine on the other side. One would think though that after macarthur now peabody after forking out $335m for the coal next door on mdl 162 would tackle the open cut coal first ,however much of that coal is also likely to be developed by underground mining method at some stage . Given they paid that much for their 221m tonnes albeit in better times, the ability to add another 100m tonnes to a future mine development plan as cheaply as they could with 1827 surely must have some strategic appeal to them or someone else who might want to land bank. At least management are now value adding to that EPC, we just need RIOto fire up on Hillalong and IMO we could get back to 4c pretty easily if coal sentiment improves from its current crappy state. My biggest gripe is doing the deal with that vulture fund who probably will be turning the stock around for a penny now that management have got them set so cheaply without even having to go into the market to buy them......poor form.