why cdu has to be a lt investment, page-151

Having returned from a most informative and entertaining AGM at Cloncurry, I find speculations by a new poster on this thread disappointing; little effort has been made for analysis beyond the superficial, and maximum effort devoted to stiring the pot. The regurgitation of the discount to the copper price furphy (which has already been done to death on HC) just confirms that Rocklands is the real deal. If the poster had done their homework, (s)he would know that referencing the price of copper to the LME price can result in a discount OR premium at the time of delivery, depending on grade (Z take note: no "evidence of discount"). As newby is not a shareholder, I imagine (s)he's not aware of these conventions. In fact, I am wondering if the non-holders may somehow be connected to the institutional interests who have dominated 85% of all CuDeco registry movements in the first half of 2012, as per the very informative research blog.

One trend that is absolutely set in stone now is the correlation between the capping of the share price, the extent of misinformation aired on HC by non-holders, and the increasing institutional presence on the register (at the expense of thousands of small shareholders who've been scared or duped out of their investments). Strenuous efforts to discredit Rocklands and company management are obviously done for a reason.

Meanwhile, as far as Rocklands is concerned, one must recognise the importance of initial mining to accurately establish grades; for the impatient, bulk trials are the best indicator as to what will be achieved over the first few years.

The reality is that Rocklands, with a strip ratio of 3.2 : 1, will be extremely profitable from day 1 up until, say, the end of year 3, and then fall back and become just another copper mine, but with increased throughput making up for reduced grades. We also shouldn’t disregard the importance of new discoveries that could significantly extend the profitability of earlier years.

We all need to keep in mind that no amount of conjecture and false assumptions from non-holders can change the reality of what is happening on the ground up at Cloncurry where it is all systems go as they fast track mine development. I am thoroughly content with our CDU investment.