AGO 0.00% 4.5¢ atlas iron limited

Who will buy Atlas??

  1. 81 Posts.
    Now, we get an interesting little article from Bloomie about Atlas:
    “Someone could buy them for the port or someone could buy them for the assets,” James Wilson, an analyst at Morgans Financial Ltd…Atlas, based in Perth, may appeal to suitors including Chinese steelmakers prepared to build a more cost-efficient rail link to the port…
    “Baosteel has gone and paid a lot of money for Aquila, for what looks to be a larger but less attractive iron ore deposit than that which Atlas Iron is busy uncovering at Corunna Downs,” Matthew Hope, an analyst at Credit Suisse in Sydney, said in a phone interview.
    Any buyer of Atlas, which hauls its ore to the coast in trucks, could boost profitability by lowering transport costs, said Hope at Credit Suisse. Port and trucking charges are as much as five times higher than similar costs for larger producers, he said.
    …Trent Barnett, head of research at Hartleys Ltd. in Perth, said by phone. “But you have to be pretty confident in iron ore prices.”

    SOURCE:
    http://www.macrobusiness.com.au/2014/08/who-will-buy-the-dying-iron-ore-juniors/
 
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