some rambles on the agm

About 80 in attendance with some of the points made;

# Tampankan is a rare world class copper project
# Copper is increasingly difficult to find. Rising costs due to lower grade mines plus demand to come from third world will ensure much higher prices long term
# They have gold and Moly credits. The latter could be worth US 10c per pound reduction to the cost of copper giving US 60c pd. target cost.
# It is in Xstrata's interest to make life difficult for IRN as they want to acquire the balance of project as cheaply as possible.
# The extended feasability study is in. Six months late but the Directors seemed to like it. Xstrata has been slow to date but have to move now due to mining lease restrictions on when they must progress by.
# Value up lift can be expected at pre feas and mining commencement stages.
# Most undeveloped mine prospects are valued at 5c to 9c per pd. (accepted industry valuation). However, current price of IRN implies 1c per pd.
# In 08, they were always chasing their tails with the IRN bid for LST, Xstrata and Crosby for IRN. Also a lot of the big players were distracted by bigger deals (BHP for RIO, Vale for Xstrata?, Xstrata's sudden capital issues etc.). Now they are in control of events. They will set up a data room, they have the study, the big players are freed up, they don't have such hard deadlines, they have shareholder approval to sell if they get the right deal, it is a foreign asset so limited FIRB issues. So they can move quickly if this will deliver the best result or more slowly to build tension.
# The MD was part of one bidding vehicle in 08 showing his belief in his view this is extremely undervalued.

Feeling : This probably is very cheap and will like go via a takeover in next 3-9 months. LST will benefit slightly if this plays out as they still have 7%~.There are however many comparable stocks with clearly cheap valuations as well.Buy if it drifts lower in a month or so after the likely initial spike on release pre feas.