So now we have a decent value reference...WHC...Current market...

So now we have a decent value reference...

WHC...
Current market cap ($2)= $650m
Reserves = 113mt (proved & probable)
Resource = 512mt (inferred)
Current production = 1.5mtpa
Projected production = 6.9mtps (by 2010)

INR...
Current market cap (55.5c)= $274m
Reserves = 35mt (proved & probable)
Resource = 324mt (inferred)
Current production = 0.5mtpa
Projected production = 4mtpa (by 2010)

GUJ...
Current market cap (33c) = $125m (fully diluted)
Reserves = 125mt (proved & probable)
Resource = 241mt (inferred)
Current production = 0.5mtpa ??
Projected production = 4mtpa (by 2009?)

Not only is GUJ less than half INR's market cap, it has significant exploration assets, a near term drilling campaign and even more coal in Tasmania.

Cash positions on a fully diluted basis sees GUJ in a much better position (about double the cash of INR) and with a much quicker path to increased production.

Even if we assume dilution for the entire $49m acquisition price of Elouera, we see script expanded by some 148m shares...and still a market cap still some $100m behind INR's.

This will rectify...I have no doubt of this...but I fail to see the reason the company feels it necessary to hold the stock down at this point in time.

Obviously there is a reason it would appear however, as it seems they have the 30-35c range in their sights.

I would bet my left nut there is a corporate reason for this.

When they sort it out, I have no doubt we will see a significant run develop...the hard bit will be determining when and then trying to catch it.

One way is to sit in waiting...as I am...another will be to watch for the break and buy in. The problem here however will be the limited stock on offer at such a time and likelihood of more bums than seats...I expect the opitions in particular will be like hens teeth when the real interest comes.

To be trading at the same market cap as INR's tonight, GUJ's would beed to be trading at 72c.

In my view, GUJ should be trading at a higher market cap...certainly not lower!

Cheers!