In your valuations just remember this is magnetite and not DSO, benefication requires huge capex. If you do a peer comparisson say ACS or ARH their Ev/t are pretty low I haven't looked at them in awhile but guess theyr'e at about 0.08 - 0.1 cents/tonne (ARH have rights to a billion tonnes MC = 97 mil) So I figure its worth about $20million + the addittional $25 mill cash deal tot = $45 million (JORC confirmed & cash handed over) + they have $20 million in cash tot = $65 million
But thats just For their Iron deal with BMG. But with JORC's for Euroiwie and Hughenden due possibly by end of year we'll be able to get a better idea of their valuation as well
With a current MC of $42 million and a steady news flow till xmas this is looking cheap
CAP Price at posting:
50.5¢ Sentiment: Hold Disclosure: Held
