igo moving along nicely, page-16

Denpal,

I seem to recall STB telling us the royalty rate for salts, and if I recall right it was nothing like 18%.

Seems to me we are getting too fixated on the absolutes wrt the fiscal terms. What is just as important is whether the terms are competitive with what other projects will have to bear.

I am not sure what people expect, that we can go into an impoverished country and raid their resources, leaving them with a few crumbs, pushing beggars out of the way as we dread the coming revolution and confiscation. Just remember the Rudd fiasco, and that in a rich nation.

Much better imho to have a stable fiscal system where the government gets much more via royalties, taxes and equity stake than we do, but where we get a stable, reliable and lucrative return on any investment.

Seems to me that the fiscal terms are the least of our worries atm. Might be a wakeup though for those who confuse project revenue with profit, or do so after some simplistic allowances for costs and taxes.

I suppose some have already done their NPV calcs, but far too early for me.

EL