special general meeting thursday

Great chance for investors to meet management face to face Thursday in Melbourne. Most management keen to talk....and certainly that seems to be the case with Pluton.

Company flagged $6m in drilling this quarter (refer March quarterly report).....not drilling for nothing.

PLV say drilling will double indicated and measured resource.....market reaction could be strong, as JORC increase has obvious implications for mine life.

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Really confident here of a significant short term bounce....even gap on news flow...eg partner interest or JORC upgrade.

Many of those Hong Kong commodities trading houses would jump at an additional 15% placement in Pluton @ 32cents ......costing them just $8m. Thats nothing for a large stake in an Australian iron ore company...but would have the effect of exciting local investors for sure.

EBITA here of $450m PA actually exceeds that of glamour new copper company Sanfire...and matches that of Mt Gibsons 4mtpa Koolan Island operations.

Koolan Island has strip of 6 to 1 compated with Irvine Island 1 to 7 surface iron ore ....$55 per ton @ 62% fe verse our $65 per ton. Koolan 4mtpa Irvine 4.4mtpa.

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Intersuisse say $1.44....but maybe investors would look to exit closer to $1.10.

Look for newsflow and hopefully gaps with this one.

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14 June, 2011 "The Australian"

"Our potential partners realise it was a stage-one valuation. They have not walked away," Mr Schoer said yesterday.

Mr Schoer will embark on a roadshow today to explain the study to investors. He said Pluton could shave up to $190m from the $700m development cost and reduce operating costs.

Pluton is in talks with potential partners for a 50-50 joint venture on fund development of Irvine.

Mr Schoer said an unnamed Japanese trading company that Pluton signed a memorandum of understanding with last year was doing due diligence on the pre-feasibility study, while talks were ongoing with five other interested partners.

In response to the study, Intersuisse cut its Pluton valuation from $2.82 to $1.44, while Austock cut its valuation from $1.33 to 68c.

Both kept a buy recommendation on the stock.