Hi Bungy - Idon;t want to speak for Anuman, but I'm happy to reply to your questions:
Q1. If Wayne Richards had the opportunity to do a straight tenement swap with UMC, would he accept?
No I don't think he would (in spite of the higher MC less cash that UMC enjoys). If he is on the precipice of an infrastructure deal with BHP, then why would he? BRM has the closest proximity to any existing infrastructure of any Fe junior. Drilling continues along the Marillana tenament, and many of the best aeromagnetic hits are still left unexplored. The resource will grow.
Q2. If Matt Hogan had the opportunity to do a straight tenement swap with BRM, would he accept?
Nope I don't think Matt would either, but I'm sure he'd love to have $100M in cash and have a pre-fes under the belt. I'm also certain that he'd love to have a BHP railwayline just 4km from his best hits. With the quality of the ore UMC have, you would have think that access would be a certainty (at least I would)
Q3. Would Barry agree to swap Railway with Marillana?
Both UMC and BRM's fate will ultimately be decided by their ability to generate revenue. In UMC's case there is a strong prospect of this based on the quality of the resource, but undoubtledly it will take longer to materialise than BRM. BRM's prospects of generating greater mine life and revenue lie in its capacity to beneficiate economically with a sound end product. If they can do this (and we wait to see) then there is a chance that their long term revenue, mine life and ultimately MC will be greater than UMC.
UMC Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
