The one area that was keeping a ceiling below 30-40c for Territory was its limited Iron Ore Resource.
Now that the price of iron ore is averaging $110-140 per tonne, previously unprofitable ore is now very profitable.
As such they have increased their Iron Ore resource at their existing Frances Creek mine to 9.5Mt. Together with the new Iron Ore purification plant which will go live in September, they are going to become a viable longer term investment.
Excluding their recently announced buy into a nearby Iron Ore tenement for exploration in 2011, this current resource will see TTY continue to produce 2.2Mt of iron ore until the end of 2013.
By the end of June 2011, they will have $100m in the bank and ready for some serious take over and exploration activity!!!
Go TTY!!!
TTY Price at posting:
28.0¢ Sentiment: LT Buy Disclosure: Held
