Ann: Update on Commissioning of Plant-CDU.AX, page-124

Perhaps I am being a bit naive, but surely, if this project is now funded through to being a self sustaining, cash-producing, operation, then a declining share price is only a problem for those people looking to exit (i.e. by definition, not long-termers). Sure, if CDU need to go back to market to raise more capital to finish the project, a low market cap will make it harder, but if that happens, then I think they will have a number of other problems to worry about too...

Anyone who has faith in the financial metrics of the project as it stands ought to be cheering a declining share price as they load up and get even better ROI that they thought they were going to get at $4, $2, $1 etc, etc (they should probably review their understanding of financial metrics as well). Why anyone actually still believes that they will get paid a dividend is a mystery to me, as I'm pretty sure that all of the retail shareholders are standing at the back of a pretty long line of people waiting to see some money from this project, and one of the major shareholders has a means of generating return from the project through its discounts on product sale that is effectively quarantined from (or less kindly, taken at the expense of) the regular share holders.

This operation should have been a smash and grab from the get go. Go in, rape and pillage the native copper, high grade oxide and HG transitional - sell the leachable ore to CopperChem's Great Australia plant, the native copper to the Isa smelter, and then sell the sulphide bearing carcass to Glenstrata and walk away with big bags of money looking for the next opportunity. If this project was treated for what it was: a small, high-grade deposit close to infrastructure and existing operations, it might have made some money. Instead, management decided that it was a large, low-grade deposit that would be a "company maker"... and now anyone still involved is left with a project which, by its own slightly optimistic financial models has a ~0% internal rate of return.