West Australian today, pg 49"Aurox deal impresses AMRO"AUROX...

West Australian today, pg 49
"Aurox deal impresses AMRO"
AUROX RESOURCES
BUY

ABN AMRO says Aurox Resources (AXO) 15 year sales contract with Chendge Iron & Steel and RockCheck Stell, two China based specialty steel maker, at prices equivalent to Hammerserly premium fines, confirms the attractiveness of its Balla Balla magnetite iron ore product.
It has initiated coverage of the junior iron ore player with a buy recommended and a target price of $1
ABN AMRO said what differentiated Aurox magnetite product was its high vanadium content. "Its the highest grade of its kind known in Australia and is high grade in world context."it said.
The Balla Balla projedct in the west Pilbra has a JORC resource of 502 million tonnes at 44.5 per cent iron and 0.65 per cent vanadium pentoxide (V205). It is capable of supporting a 10 million -tonne-a-year mine over a 25 year plus life.
Aurox has also secured an agreement with the Port Headland Port Authority to export an initial 6 million tonnes a year on magnetite ore from 2010. According to ABN ARMO, the greatest challenge facing Aurox is its need to raise more than $1 billion to develop its mine and export the product.
Aurox shares firmed 0.5c to 22c