ridiculous, page-10

re: where's the downside risk ?? MCR has shown a 42% rise in revenue and a 65% rise in costs during the half ( not 50% and 100% as previously posted) They have acknowledged cost pressures but the main impact on the imbalance has been no doubt caused by higher production and a lower nickel price during the 6 months. The average cost per lb in the six months was about A$4.80 v A$4.27 in the first 6 months last year. The drop in nickel price last September / October was quite a lot more severe than in October 04. Currently they can sell uncommitted nickel at A$20000 a ton and committed selling at $16000. We have had several positive forecasts on the nickel price recently and if the price can stay up at these levels MCR can be expected to achieve A$1500 to $2500 more per ton than in the first 6 months on the 2/3rds of sales not forward sold. The risk is mainly around the nickel price but an optimistic outlook is for a doubling of profit in the second half plus about $15m from TYC -- a total of $30m mining profits and a special profit of $15m - $45m in total or 22 cents per share. I am pleased to get the 6months announcement out of the way -- I had thought there must have been a disaster on the way with all that selling -- however I will now breath easier and sit back and watch