All the talk about a big September destocking process smashing the IO price turned out to be all a bit ho hum.
At $US 138/t the IO price is remaining robust. We've also seen a lot of big miners put some big projects on hold as they focus on high margin projects.
In terms of Iron Valley we know EBITDA projections at 4mpta at $100/t saw us earning $20Mpa.
At 6mpta at $120/t saw us earning $75Mpa.
Despite delays in getting IV to production the cryptic comments about a "logistical solution" allowing exporting at more than 6mpta, along with a potentially higher royalty rate if IO prices remain at current levels makes 90c a share right now seem pretty cheap.
And this is ignoring Bucklands.
Hopefully first income in CY2014 is a payoff for all our years of patience for long term holders.
IOH Price at posting:
90.0¢ Sentiment: LT Buy Disclosure: Held
