io will continue to surprise to the upside !!!, page-5

OMG, How quite is it in this thread, superox/RS maybe it is time to buy!

gassin,

I would say over the long term if IO drops then so would the AU$ (er6n would correct me on this one)

AGO & FMG are the best 2 stocks to be in IMO.

You are right even IO at US$100/t and the AU$0.80 that's huge margins for IO companies, AGO in particular.

gassin I like your figures but there a tad out.

Lets take IO at US$100/t and the AU$ at 80c = $125/t

$125/t minus AGO discount to the platts 62% 10.5% = $112.00

AGO all in cost 75/t wet + 6% moisture = $80/t

$112-
$80=
------
$32.00/t (AU)

$320Million-$480Million (10m/tpa - 15m/tpa)

So assuming the above currency and IO price align I do not see AGO sitting at these pathetic levels to long.