A single cent per tonne Today the price of iron ore ranges between $140 - $150 a tonne. A fair average over the past 18 months.
If Abaxx sold its 28 billion tonne reserves for $0.01 per tonne (that’s right, a single cent) it would realize $280 million. Together with the sale of the port loading rights and the current Cash on hand, Abaxx would be holding between $300-$400 million. That’s around $5 per share. And the company has essentially no debt.
What effect would that have on the share price? (Even if the public evaluated the rest of the company at $0, which seems a fair price.)
But clearly the management does not have its shareholders interest in mind. Whose interest do they really have in mind? A good question.