AGO 0.00% 4.5¢ atlas iron limited

ago future, page-2

  1. 1,327 Posts.
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    Great story. This is what a few of us have been saying all along while shorters have enjoyed an 'extended' bear market which frankly has no more life left. The doom and gloom supply argument has fizzled. Markets have adjusted. Miners are at or just above records lows. Costs are at record lows. Surviving miners who have restructured sensibly to undo previous wrongs and wipe out debt concerns, sealing stronger partnerships who have existing infrastructure running lean and mean are set to reap profits like AGO.

    Glencore sees the value in AGO. It's not just Iron ore which still is in demand, its the pilbura presence and location, its the land value and upside to other resources eg Lithium. AGO will be one of the biggest turnaround stories in the history of commodity investing.

    If people are getting excited now you just wait until the next commodity cycle runs with not only China firing at compounding growth levels, India is about to explode with construction and you have the rest of the western world finally building momentum. The US is in need of an Infrastructure overall itself and will be a prime example of the cycles of demand in a rapidly moderising world. You have demand (early stages of urbanisation eg India, Asia and africa) and you will have 'revamp' urbanisation where western countries like the US who are living in the glory days of its old revolution finally upgrade its aging infrastructure.

    Mark my words AGO (even with dilution will be over 10c next year) easily.
    Why?
    AGO will increase profits. It's profitable NOW at the bottom of the cycle.
    Commodity index LT is now moving up.
    It's obvious that the world is acknowledging that the commodity bear market is over. The next leg in commodities is only getting started.
    AGO will continue to cut costs further.
    Debt will be gone next year.
    Partnerships will be strong.
    Share register will have a consolidation.
    Lithium spin-off is highly probable.
    JV potential with Pilbura Minerals probable.
    Rail deal will not even be needed but hey it's a bonus.
 
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Currently unlisted public company.

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