I will never forget the moment a few years ago back and I was in a bar with a friend who I used to work with ; a very well known Melbourne Stockbroking, identity who used to be a chalkie on the Old ASX Trading Floor in Collins St.
I walked into the bar, bought a beer turned around and asked him straight away.
"How high can this bloody Fortescue Mining (FMG) go?
His response " Who knows? But this thing, is going high!"
This was when the SP was around $3.00, and was going up 10c-20c each day, after Fortescue just got granted access to BHP's railway line without lifting a tonne of Ore.
FMG went from 6c to $12.00, with a share split and endless dividends. The Rest is history, now 3rd biggest miner in Australia.
BCI Iron Ore 20c in 2009 to $3.85 today. They also had a share split return 1:10 (free share) back to shareholders. They just announced the other day, a very healthy $85 million dollar net Profit with a dividend return to shareholders be around the 30c mark.
TRF-IFE Project
Cash flow is set to begin in the first half of next year, with Trafford estimating Stage 1 production of 1 million tonnes in the first year will generate conservatively about $8 million for its 20% share in the project.
At the projected 2 million tonne output in the second year Trafford can expect a $16 million gross income from the iron ore operations.
We await with anticipation, a very significant milestone for the company, next few weeks.
I get this feeling TRF will be the one of the best investment decisions, I have ever made. I hope I am right.. Still early days however..
As they say, Always go with the gut feeling!!
GLTA.
TRF Price at posting:
13.0¢ Sentiment: LT Buy Disclosure: Held
