jv iron announcement - yawnnnnn, page-7

No offence saracen, I know you mean well, but this announcement is just as material as any other out of the CAP office. Sure, at face value we are just buying up a bit more land that may take two years to define a resource at, but you have to read between the lines here. This announcement signals intent - intent to really establish the area as CAP's hunting ground for long term prosperity. Nick and co want to scoop up as much land as they can out there, because it can only serve to add value to the pioneer project in Hawsons.

To draw a comparison with FMG, they have been such a success because they acquired assets in the Pilbara when no-one else was interested. They weren't satisfied to be an AGO or an MGX with a couple of producing mines - they wanted to go the full monte and mine as much iron as possible. The management of that company had the foresight to look further ahead than just the next 12 months - they were looking long term, and I feel that CAP have made the same call here.

With last year's tin/tungsten acquisitions, and the recent iron acquisition, one could find themselves asking why CAP have such a strong focus on the Broken Hill area? In a nutshell it is all about infrastructure, and Quentin Hill discusses this quite concisely in his recent BRR interview on behalf of the company. Worthwhile having a listen if you've got 3 minutes to spare!