reply, page-4

A comment for the SPP conspiracy theorists. Towards the spp date (when our primary concern was that the sp was falling towards .75 and not because the SPP was artificially high, lest we forget!) I queried Tony about it and received the reply ...

"People should have a look at the performance of all iron ore juniors. They are all getting a hiding. The $A has really spooked the market and our end of the market is getting hammered.

I don't think anyone is playing with the price to make the SPP a failure, I just think there has been a move away from juniors that have future sales in US$.

If XXX doesn't want to participate in the SPP that's up to him. However I hope he doesn't post in the future that pluton didn't look after retail holders. When the offer was announced we were about 95 cents. That was a big discount to offer to the retail guys.

Not much I can do about the share price at the moment though."

Now I ask a simple question, do these sound like the words of someone (with a large number of shares which he kept and has suffered as a result more than any other individual who posts on hotcopper over the last two days!) who is deliberately and selectively holding back market sensetive information?

Sorry I don't buy it and even if he "felt" capex costs were likely to rise, ultimately they are a subordinate component to NPV, which increased to a level fourfold the prevailing shareprice and far outweighed it. If he were to selectively spill the beans on one component of the PFS, he should have spilled the beans on the both; so why do either if you don't know for certain?

Call me a nieive optimist but I still hold. About 10% of the company's shares have traded over the last two days but it would be really interesting to know if any of the top 10 holders are selling. I smell a very similar situation to Cudeco after 18 August 2010 (when they received even worse news) but none of the major shareholders sold, just mums and dads; and the shareprice soon doubled after a new major shereholder came on board (M&G).

Are we about to see a replay with a prospective new partner for Pluton being negotiated? Its time to turn the computer off for a week.