I am about to buy more shares, as soon as a cheque clears into my trading account. The question is, what to buy?

Do I buy more shares of SPQ? It is the company that Cliffs seems to be pursuing most actively at the moment. Chances are high that another increased offer will come in eventually, before the proposed merger date. If Cliffs decided not to purchase KWG at all (at the present time) and took all of the funds that they had originally alluded to for the pair of companies, they could put that total amount into SPQ alone and offer in the neighbourhood of 26 cents per share.

Do I buy more shares of KWG? It is currently trading at a discount to SPQ, in fact, presumably a very significant one, considering that both companies have the same interest in the Big Daddy, which is what Cliff's is really after. It also holds the 1% NSR, probably worth a few cents per share at NPV, and the right-of-way to the proposed Railway. Based upon those extras, it shows a clear superior value to SPQ overall, although with the much larger share base (fully-diluted), that value per share is more directly comparable to SPQ.

It is too bad that Agoracom doesn't have poll options in their messages.

In the end, I suspect that the wise course of action would be to put equal amounts of money into each stock. I can't lose that way.