Royal Resources could be worth some research. It recent ASX announcement on Razorback Ridge is certainly worth a read. Positives: 1. ROY has a very low Market Capitalization of about $28m based on a share price around 30 cents. 2. Large iron ore target of 500-1,000 Mt @25%-65%Fe. 3. Easy access to existing under utilized rail and port. 4. Supportive State Government, low royalty regime. 5. No Native Title or apparent environmental issues. 6. Fast track to pre-feasibility study. 7. 40 Kilometres from existing 10Mtpa capacity rail line & only 170 Kilometres to Port Pirie. Rail cost will be less than A$7/Ton. 8. Two uncongested ports available .i.e. Port Pirie & Port Bonython. 9. Acquiring surrounding Exploration Licences 1,454 sq.kl., so potential of for further resource to be discovered. 10. ROY has an excellent chart & looks like it wants to break out. Also set a new 260 Day Yearly High last Friday which is always a good sign. Negatives: 1. ROY currently only holding about $2m cash, so probably will need to do a capital raising fairly soon to secure the project. 2. ROY will need a major project partner to enter on a Gindalbie-Ansteel Model. But remember GBG at the current price of 87 cents has a Market Capitalization of $604m cf ROY currently about $28m., so there is plenty of room for upside to the ROY market capitalization. References: ROY ASX announcement on Razorback Ridge Presentation. Please note ROY is a highly speculative stock & no investment advice is given, so please do your own research. Regards Buffett
MFE Price at posting:
14.0¢ Sentiment: None Disclosure: Held
