Hi GSW,I am not sure what others think BHP will pay for APG but...

Hi GSW,

I am not sure what others think BHP will pay for APG but in my view the amount depends on when!

Now, about 30 - 35c. But they clearly wont do that now that they have committed $5.0m to building the plant.

When the plant is complete (Dec) about 55 -60c

However the price will also depend on what APG has done with One Steel and what APG has done with gold.

Add to that what APG does with DRI and agglommeration.

If BHP do not move on APG when this plant is complete they will have to pay far more.

Once complete APG will have the right to AND WILL demonstrate the DRI to the likes of Fortescue, Rio etc, and the Agglommeration to ILU and BHP to name a few.

So for BHP it will be the chicken or the egg.

If they go for the chicken in December they should snap it up for say 55c but if they wait for APG to lay its eggs and show everyone we should be looking at much more.


Cheers