SDL is an obvious event in the making. The Chinese will buy the...

SDL is an obvious event in the making. The Chinese will buy the company or fund it. Either way, its cheap at 1/5th of the previous bid price. The news is full of endless wake up calls for investors about the need for China to even the playing field up in iron ore out of the hands of the majors. This is 62% Fe and scalable. China will consume 800m tonnes pa plus for a long time to come, the world does not get any smaller or consumes less every day we wake up. The market absorbed FMG's 155mt pa with little short term effect on prices. This is helpful to China in some respects, but it still makes Australia the dominant player of supply. Imagine what the price would be without FMG? If SDL can produce iron for approx $21.50 pt, then that is effectively half the cost of FMG and the grade is higher, then its obviously appealing to the longer term thinking Chinese. Sort term thinking for the Chinese is 100 years. See what they did with Hong Kong if you don't believe me. It should seriously rerate within the next few months and be a different company, assuming its still here. Dyor.