Thanks for your response. Flinders has 1bn tonnes of resource,...

Thanks for your response. Flinders has 1bn tonnes of resource, and I think Brockman has 1.6bn tonnes. Together they can produce 33 mtpa (although FMS to produce its 15 mtpa would require a much higher capex of $1bn. FMG added 50mtp last year, and this year is adding the same again. Buying Brockman and Flinders and putting an additional 33mtpa through the TPI would not be unattractive in terms of size surely? Yes, I noted you had some other mine (I forget the name that was going to be expanded/developed in 2015, and that that project has been put on hold).

Agreed it is simplistic to look at the market cap and the Fe resource/reserve alone. $2.1 bn really was the cost of laying a 240 km rail in the West Pilbara (as at July 2012). I expect that figure excludes finance costs (see Aquila Resources updated capex announcement of 8/10/12). Other than for minor differences for numbers of cuttings and bridges, I can't see why a 240km rail line to Port Hedland should cost so differently from a railway in the West Pilbara. Screen shot of relevant bit is below: