With regards to a takeover, and to anyone who is thinking to...

With regards to a takeover, and to anyone who is thinking to themselves that the big guys won't come in until things are more developed, take a look at RIV. They, like SDL, had ALOT of potential to really prosper, but RIO are going to wipe them off the floor before they have a chance to fulfill their promise. I'm not saying for certain that this is the path that SDL will go down, but it is worth remembering. Companies of all origins, sectors, shapes and sizes get taken over.

Yacheng, I can't say much because some poor soul will TOU me for cross promotion, but ever heard of magnetite? CAP, ARH (ARH is bit dodgy though) and IRD come to mind. There are also others who are borderline with SDL.

For example, CAP's FOB OPEX is estimated to be about $71/tonne (wait for confirmation in the feasibility study next month on that though).

68% Fe Magnetite pellets demands approximately a $50/t premium over the 62% Fe Fines spot price, thus the benefit of SDL's cheaper operating costs will cancel out with the higher price that magnetite pellets demand.

Both companies are beginning production at around the same stage, both will make a similar sales margin on their production, CAP will have a significantly cheaper CAPEX (<$2B) and on a $/t basis, CAP is priced at about half that of SDL.

Anyways, read of it what you will.