MMX has been the sleeper of 2005. They have the resource in...

MMX has been the sleeper of 2005.

They have the resource in place, the buyers lined up and the financing in place. It is just a matter of getting it out of the group.

The stock has been widely tipped to push towards 70-80c for a while. The stock price didn't move as quickly as possible because of the delays in building the storage sheds and getting road clearance for the trucking operation.

With the major insto's now coming on board as well as AMP behind the trucking operation, you have a high Fe content operation with serious hitters involved.

The jump in pricing I think is due to the market finally valuing the project at what it is worth. With the first ore to be shipped in the next month or so, you are going to have a producer with early cashflow and secured buyers.

In my opinion should be worth more at the moment.

Say that do 1m tonnes in the first year and make net profit of $15-20m (conservatively), then put it on a P/e of 10x for the upside from the inferred resource, the market cap should be around $150-200m.

With 280m shares being listed + escrow excluding options, then the stock should be trading around 53.5c - 71.5c, on forward looking numbers.

Some brokers have it valued at $1.50-$2.20 I think based on current 3 year operations before they move onto the stage 2 operations where the brokers say a value of $3-$5 is possible.

Also you may be getting some money coming out of IOH after their disappointing drill results on their secondary targets.

Just my thoughts..