patersons 'buy' rating - 81c sp target ...

Just as a reminder (for those of you that may not have seen this already) that in September Patersons put a 'Buy' on African Iron Ltd with an 81c (12 mth) target on the stock, with a Resource Upgrade imminent by the end of October. The sp at the time of the Report was 25cps.

Some of the highlights included:-

AKI have indicated an interim resource update due before the end of October. With the aggressive nature of the current drilling program we expect to see an increase in the current 33mt DSO resource to 40-50mt as well as a maiden resource for the enriched BIF component of the exploration target.

Cheap on all Valuation metrics - The company looks cheap on a number of valuations; currently trading at a heavy discount to our price target of $0.81/share we also expect to see a re=rating on an EV/resource metric with the imminent resource upgrades.

Please click here to view Patersons full AKI Research Report