to match ari&fmg it should 40 cents.

Over the next 5 years...

It seems that ARI&FMG today are priced for...

Iron Ore AVERAGING $US90
Constant currency at 0.925
Current dividend factored.

It is all fine for both ARI&FMG, they both will make good profits and dramatically reduce debt by 40-50%. So ARI&FMG are a good investment with very minimal downside and significant upside.

As for AGO it is no so good.

They will have a NPAT = (97) LOSS every year.

They will have about $12m cash in the bank (no debt) in 5 years time.

So the equity is not worth anything unless management can borrow and invest in much lower cost or much higher grade ore production. A rail solution is the obvious way to reduce costs. So that is the real bet on AGO.

But at 75 cents the share price has not this factored in like it has for ARI&FMG.

To match ARI&FMG it should 40 cents.

OR ARI&FMG should be double than they are.

That is why there is 11% short interest.