My take on the situation is as follows:-When a company with an...

My take on the situation is as follows:-

When a company with an undiluted market cap of $9.5m (as at the 1st Feb) announces that it has potential target of 4.4Bt - 7.3Bt at 20-65% then you would expect the share to move just as it has done, in fact, a very light on response so far in terms of price rise in my opinion.

Lets look at an example, FMS made a similar statement to the market in 2007. It said it had a target of 340mt @ 50-60% (From memory?) ...the Shareprice rose from 1.3c to 25c based on this news over a few weeks...then fell back but never again got near the starting price of 1.3c even during the low points of the GFC. The stock was rerated up several after the drill results and jorc statements starting confirming and exceeding the target.

So the moral of the FMS Story is that only those that took an early position on the days immediately after the initial target statement was released are the ones who made the biggest profit (ie up to 1200% increase) , not those that waited for the Jorc statements to arrive who only made a (50-100% profit).


fishoMC wrote
"...After these results were reported the price tanked and the company went in a different direction, Potash..."

This is likely because the whole market tanked (GFC) and that Fe companies went out of favour at that time due to falling Fe price...but potash prices were still flying high.

I also like people to note RAD tenements are about 100-120km from the Koolyanobbing rail line which is already used for Fe. So you would expect that they need to get a rail link to Koolanobbing only everything else is already potentially in place assuming an agreement with the Koolyanobbing mine owners can be reached (ie, Train engines, Rolling stock, Port space, Fe Loading facilities, Deep water port etc etc) ... So IMO even if they define a resource 50% of the target they will still likely be economic.

May I also remind everyone that SPH Sphere Resources had a resource size defined of about 50% of the RAD Target and similar grades and was taken over by Xstrata for $500m+ last year.


So in summary it is the early investors (..And I was one for FMS) that will reap the biggest gains ...So says history... That is why the RAD share price is rising steeply and will continue to rise steeply IMO. The stock may never ever be this cheap again.

All is IMHO DYOR to Confirm.