MANJAPRA,I haven't checked your EPS calculations, but based on...

MANJAPRA,
I haven't checked your EPS calculations, but based on those numbers and your logic, I think the 'secular' factors unique to GRR come into play:

1-2) Lots of shares, but not much 'free float' in the trading, since Shagang and its associates hold about 3/4 of the shares. The Europeans, who formerly dominated the GRR share register, are much less important now, and don't trade frequently/can't trade easily (or take advantage of the SPP, for that matter).

3) The Southdown project has a half billion tonnes of good magnetite resource, and a fair bit of upside in the resource acquired from RIO: geographically, as least, that ground doubled the strike length (but GRR held the better half of Southdown). However, to pelletise the Southdown resource (and the bigger money is made in integrated production) there is the small matter of US$1+ billion to spend first.

4) Magnetite PELLETS are advantaged when you want to MAXIMISE the iron produced in your blast furnace, which usually happens when the economy is booming, but is the case in China even now at the tail of the GFC. Remember that while blast furnaces are talked about in terms of TONNES p.a., they are essentially VOLUMETRICALLY constrained: if you want to get more iron out of the BF fixed VOLUME so you can make more Steel, better to feed pellets or scrap metal than ore which is at most 65% iron (or thereabouts) so 35% turns into waste, not steel.