Re:todays report:It would seem the iron ore areas that UKD now...

Re:todays report:

It would seem the iron ore areas that UKD now own were excised from the original permit area.

The reason could have been because, at the time..... maybe Goldsworthy Mining and or BHP, did not consider these areas contained significant iron ore deposits, after exploration of the original permit area.(exploration which could even have been from the 1980`s.)

Of big significance however, is that a decision for removal of these areas, would been made no later then the end of 2002.....(survey plans would need to be undertaken/licenses approved/DOIR applications lodged etc.....that takes forever -and Rhodes formally secured the lease in mid-2004).

This would mean that BHP approved the excision of these areas prior to the iron ore boom and around the time Mining Area C was starting up, at what in now a modest 15 mtpa. (BHP are now ramping up to 43 mtpa).

Since 2002, BHP has said on a number of ocassions that there is still exploration upside around Mining Area C and I recall words back around that time, that the area was poorly explored.

So the question is.......did they make a mistake a few years ago by allowing all these Marra Mamba and Brockman formation to be secured by another party. It seems certain that they were not in a position in 2002 to have undertaken detailed and extensive enought exploration to make such a decision......but in 2002 nobody dreamed we would have a iron ore boom to this degree.