The valuation of $1.20 per share by 29101971 compared to African Irons takeover price looks good but ol' buddy, African Iron only had about a quarter of our likely 500 million tonne JORC plus throw in a couple of billion tonnes inferred and all delivered in the coming months of this year. It makes my price target of $2 a while back actually look very modest when you look at the facts as this story unfolds. North of $2 looks more likely by the day subject to succesful metallurgy being developed which brings me to my next point. Equitorials Mayoko deposit has head grades of 51% Fe, 12.9%SiO2, 8.1% Al2O3 and .055 P. By using simple wet screening benefication they have increased the Fe to 63.9%, and reduced the SiO2 to 2.6%, Al2O3 to 3.1% and P to .048%. Over at Cape Lamberts Marampa deposit with head grades of 28.2% Fe, a whopping 44% SiO2, 6.0% Al2O3 and .15 P, by using Wet High Intensity Magnetic Separation they have increased the Fe to 63% and reduced SiO2 to less than 5%, Al2O3 to less than 2.5% and P to .02%. This argues particularly well for EIO with their metallurgy and has me still buying EIO whenever I can find any spare cash.
EIO Price at posting:
17.0¢ Sentiment: Buy Disclosure: Held
