Former Fortescue Metals Group chairman Gordon Toll has continued his love affair with iron ore after picking up big stakes in two juniors, Royal Resources and Phosphate Australia.

In addition to the share acquisitions, Phosphate said that it and Mr Toll's company Lodestone Equities would work towards setting up a joint venture over the iron rights to Phosphate's Nicholson project in the Northern Territory.

Lodestone will pay Phosphate AUD 1 million on entering the joint venture, in exchange for an option to pick up more than 70% of the iron rights at Nicholson.

Mr Toll has bought 11 million Phosphate shares, at 7.4¢ each, raising AUD 814,000, the company announced yesterday alongside the Nicholson joint venture news.

The second phase of Mr Toll's investment drive involved the acquisition of 29.7 million shares in Royal at 12.5¢ each, injecting AUD 3.7 million into the iron ore junior.

Mr Toll second chairman of Fortescue before being succeeded by Herb Elliott, has a controlling interest in Lodestone and is founder and former chairman of Brazil's Ferrous Resources.

Source - The West

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