citi presentation, page-17

I bought (as posted) at 5.95 and again at 5.70... only to see the SP continue falling to 5.35. However,(see earlier posts) I couldn't shake-off the feeling a big fish was preparing to buy into RIV. i thought it may be a TO bid from either VALE or BHP. RIV has always stated its 2 main mkts are Brazil and India as both countries desparately short of coking coal. Today we learn Brazil's largest steel-maker has bought 16.5% paying a decent premium. I wonder if the steep drop in SP over past fortnight leading into today's $186million scoop was orchestrated? Either way the mkt LOVED the news and shoved SP 30c above the buy-in price. Talbot's willingness to sell has been overhanging the mkt for months. That has been settled and it's now a case of getting this world class deposit into production.
With VALE holding the adajacent tenement we may see a JV to refurbish rail and port to handle the massive tonnages. However, before RIV exports begin we will have income from power generation being built on the minesite which is literally 1 kilometre from the huge HEP Cobra-Basso grid that feeds the whole of N.South-Africa. This coal deposit in Oz would be valued at multiples of current SP. however, with massive investment from 2 huge steelmakers in India and Brazil the future looks bright for RIV. Still a BUY imo. DYOR.