Surprised at the lack of discussion regarding this stock?
On Carina target, the company has reported that drilling intersected 100m of hemetite-geothite material across 1.5km strike and width of 90metres, from surface. First assays released was 102m at 58.7%fe and low p, amazing intercept. The ore body is open at strike and depth.
Assays on the following 11holes are expected by the company in late feb, ie now.
lets run some basic tonnage calcs on this:
1500 x 90 x 100 x(sg of 4) = 54million tonnes and this is open.
The yilgarn project has total target of 150-200mt, 69mt of this has already be proven by drilling by bhp in the 1960's.
Feasibilty studies on a 5-10mtpa mining operation for up to 20years is due for completion mid 2008.
These yilgarn depsits are just 50km from rail, where the comapny plans to rail its ore to Kiwana bulk jetty.
Poondano project in the Pilbara, just 30km from porthedland, is due for initial JORC resource calc at end of march, a feasibility study on this project is due around may, looking at 2.5mpta.
A malyasian steel maker owns 19.9% of POL, and is interested in off-take. An MOU with singapore toll transport has been signed for shipping and ore handling.
Director recently bought over $300K of stock at 60cents, through a combination of rights issue take up and on market purchases.
So we have a company that that is well set to be shipping 2.5mpta mid 2009, and an additional 10mpta in 2010.
A new "procuduction" based mangement team has been brought in recently, the MD being a former Principle Rio Tinto mining adviser.
POL has a market cap of $80, undervalued?
Based on the above reason, i believe POL is set for a significant re-rating through positive drilling results and feasibilty study results in coming months.
And to add, the SP has climbed from day low of 57cents on friday to close at 64cents today.
cheers.