strike while the iron is hot

Now is the time to be taking a position in SDL. IMO we won't be seeing anything like these prices in the new year. Iron ore is a hot commodity and SDL have a potentially huge resource.

Also, we can expect lots of news in the not too distant future:

1. PFS - due anytime now;

2. MOU with Cameroon Govt - the chairman's address in November mentioned a meeting with the mines minister in "coming months". He also mentioned the govt recognised the importance of the project to Cameroon and offered "a very positive level of support";

3. Initial Inferred resource - announcement due early 2008 the further news to flow through 2008 with a view to commencing construction in 2009.

4. Merger - SDL are on the lookout to take advantage of any future opportunities.

Other than that keep in mind:

Talbot Group holds the maximum of 19.9% and Ken Talbot sits on the SDL board.

Recent valuations place a conservative SP target of 70cps.

Yes there are risks ( from my research SDL management appear to be pro-active in planning for these where it can) but there is also potentially huge reward.