agm attendees & the way forward, page-3

I don't think that it is time to congratulate the board just yet. There are still several issues with Albidon that needs clarification before the share price can reflect its true value.

There is still no hedges in place to prevent a new world crisis (ie. European Debt crisis, America's ballooning debt, "too big to fail" derivatives crisis - to name a few) from closing down Albidon altogether. If nickel prices drop to very low levels (as 2008 proved to us) and the company still has its outstanding debt level, we will get into a technical default and once again we will be in Jinchuan's hands. It is time to hedge PART of our production (given the historically high nickel prices) to ensure our economic viability as per the LOM suggests.

Debt is still too high and there hasn't been any restructuring notice yet. I understand that "debt is being restructured to POTENTIALLY be aligned with LOM." If "POTENTIALLY" debt restructuring does not work out, we can easily be declared in technical default and once again in Jinchuan's hands. Albidon's assets can easily be sold off at distressed asset prices and we will get very little for our shares. The board needs to restructure the debt immediately to ensure the viability of the LOM.

Last, but not least, the marketing of the company's share should be improved significantly. I still don't think that company has a good relationship with key brokers (Cazenove, RBC...) to help it market the shares to hedgies and the like.

As you can see, there are several issues that need to be addressed before the share price can reflect its strong LOM NPV. It is easy to say that this share is worth AUD 1 given the LOM. However, in order to achieve the scenario that the LOM suggests, we need to minimize the risk to the production and maximize the grades and recovery rates. The later, I think that Albidon has managed successfully whereas the former has been very poorly addressed. It is essential that the financial side of the business is managed accordingly. This means hedging part of the production, restructuring the debt and marketing the shares accordingly.