street talk

Key points from an AFR article.

Talks hled with FMG over alternative deal structures including rail access and mine gate and economics of the deal didnt stack up.

IOH going back to parties it held talks with prior to the FMG deal that have infrastructure, including RIO, BHP, Hancock and Atlas- $150m project at 5mt p/a which could start mid year if a partner is found. Hope Kerry is on the phone to the Sam Walsh right now.

At Bucklands IOH havent appointed an investment bank and doing the partner search in house, with an option for Aquila (!?!) to share the port facility if its own port plans fall away.

Mentions Baosteel, Posco, Glencore and Noble as potential interested parties.

so still a lot of questions to be answered but the Board must be confident of striking a deal if they were willing to pay $4m for early exit. They have shown a penchant for the deal making in the past so confident they can strike a good deal on our two key assets.