And in the tenth month of 2007, the bull market brings forth Iron Mountain Mining, Ltd. (ASX:IRM) and sends its shares up 300% in one day.
IRM was just one of many shares storming to new highs yesterday, as the ASX/200 made an all time intra-day high of 6,684. Iron Mountain announced high grade mineralisation at its Mt. Richardson iron project in West Australia. In its price-sensitive release to the ASX, the company said that “The Iron Mountain Prospect rock chip samples averaged 61.3% Iron (Fe) over two kilometers of strike.”
The company announced results from two-other drilling simples. Both indicated high-grade haematite iron mineralisation. Which is another way of saying….eureka! Except in this case, rather than finding real gold, Iron Mountain has found industrial gold…the raw material desired by Chinese steel mills.
And at the upper end of the share-market, Fortescue (ASX:FMG) and BHP (ASX:BHP) both continue their relentless climbs higher. Fortescue is now the 23rd largest company in Australia by market cap, despite the fact it has yet to deliver any product to customers or make a profit. The catalyst for yesterday’s 8% lurch higher was legal. BHP lost its appeal against a ruling that allows Fortescue access to BHP’s Mt. Newman railway line in the Pilbara.