Alderon Iron Ore Corp AXXDF

Alderon Iron Ore Corp is a Canada based development-stage company. It is conducting iron ore evaluation activities related entirely to its Canadian properties located in western Labrador in the province of Newfoundland and Labrador. The company's operating segment is the acquisition, exploration, and evaluation of mineral resources. Its flagship project is the Kami Iron Ore project located in the Labrador Trough.

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Alderon Iron Ore Corp

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Comment by Speedmasteron Jan 15, 2012 12:33pm

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Post# 19405351

RE: RE: TD target on ADV

That is a 12 month target.

Alderon Iron Ore Corp.
(ADV-T; Speculative BUY; 12-month target: $5.00; 64% Upside to
Target)
• The Kami project in the Labrador Trough of Newfoundland and Labrador (NL),
close to established infrastructure at Wabush, NL.
• The company has a large, open-ended resource in three zones that currently
amounts to about 1.1 billion tonnes grading about 30% Fe.
• The project is being advanced to production following a positive PEA; a FS is
scheduled for completion in Q3/12. We have modelled a 2015 start-up.
• Our model is PEA-based, but assumes a wholly-owned operation that exploits
just 500.0 mmt of ore to produce 8.0 mmtpa of 65.5% Fe sinter feed
concentrate for 23 years at a LOM opex of $52/t and pre-production capex of
$989 million.
• Our $5.00 target price (rounded) is based on 1.20x our 12%NAVPS estimate of
$4.06.
• Alderon shares are trading at a 25% discount to our 12%NAVPS estimate