so hush hush, page-25

THE NEXT SLEEPING GIANT???

Don't give up on ARH just yet folks....I suspect the project to which he was referring was the Mineralogy Iron Ore Project just to the south of ARH's BSIOP. Palmer has also separately stated in the media that ARH's project would proceed irrespective of the mining tax.

While Professor CP might be a 66% shareholder of ARH, there is no way the Mineralogy Board would be making unilateral decisions in relation to the ARH project. All the same, would be good if ARH management could come out and clarify the position for us long suffering holders.

If you go to the mineralogy website - click on "Projects" you will then see a tab titled "Cumulative Impacts Assessment". Pages 5-7 of the Strategen Report clearly shows the Mineralogy Iron Ore Project (shaded in pink on their map) which is just to the South of ARH's BSIOP (shaded in green). Link to the Strategen Report is here...

http://www.mineralogy.com.au/reports/CIA_V4.pdf

Politically It is very easy for Palmer to "can" his own Mineralogy Iron Ore project - which was at the very early stages anyway.... If it helps bring down KRUDD and his mining tax who cares??

I might feel different if I'd purchased 3 years ago for $1.50+ but when you look at the money and infrastructure that CITIC is pouring into its project just next door, shared infrastructure arrangements with ARH, proximity to port, gas supplies, government approvals in place and Chinese investors kicking the tyres in my view it is only a matter of time before funding is announced. (this year imo).

Regardless of whether the Chinese really like Palmer (or not) they will deal with him to get what they want - which is the ORE.....it's just business to them.

In my view 2010 will be a pivotal year for this company - lets see what the new MD brings to the table in June and if Resource House launches I would be very surprised if there was not some form of side deal in it for ARH (i.e. funding...)

I'm not put off by the fact the ARH held out from giving the majoirty of the project over to Shougang during the GFC (on Chinese terms!!!!). Look at what has happened to Iron Ore prices since. Shougang are still holding 6.3% of the company - if they thought it were a dog they would have bolted from the register.

On a funding announcement this thing will be $1+ for sure and you only have to look at the old pre-GFC broker reports on ARH's website to see $2+ being mentioned....

ARH - THE SLEEPING GIANT.