"Asian consortium to buy stake in Namisa" is sending a very clear message that the IO is not just required by China but all of emerging economies plus the upgrading of the infrastructure of the advanced economies.
IO booming is not a tend which just run for 4 years but a historical stellar booming in human kind history. The steel makers would use this setback of the global economies to get stronger positions in the IO sectors.
FMS, if its IO could be confirmed, would attract some big boys to achieve their long term strategies. This is very positive forces in IO sectors. Before FMS IO JORC, these big boys may put some risk capital in but should not be significant ones.
However 500mT IO is good enough to make any big boys to think it seriously. A lot of our mates worry the right issues of MXR. However it could be a sense making decision by FMS board.
It is natural everyone doesn't want to pay more for what they want. The weak minds usually worry they should not and give away what they should not. Just guess if FMS could be marked at $2.00 with its 500mT IO(still concept), it just $4 per tonne around.
The trend could suddenly put the negative sentiment into people's minds. In next 5 years, it could also put a very strong positive sentiment into the minds too.
If IO hot again and become much hotter with the XAO reach 10,000 points, just guess, what would happen to FMS if it has the huge IO.
KW asked "who knows?" I know if FMS IO is huge, I just need to hold.
FMS Price at posting:
5.5¢ Sentiment: Hold Disclosure: Held
