more on the convertible notes, page-9

I think it is worth just clarifying the situation with the notes. I have seen a number of posts which have said the problem is not the notes it is ....

The problem is Jinchuan's obsessive control of every aspect of the company, they control the Board, the Perth office, the mine, all the debt and take all the Nickel Concentrate produced. The notes are axiomatic of Jinchuan's control. The review team recognise this and recognise all the other areas where Jinchuan are ruining our company.

The situation with the notes is that, at the drop of a hat, Jinchuan can double the number of shares in issue and gain nearly 75% of the company. New blood is needed at every level of the company, but decent directors and managers are not prepared to be puppets for Jinchuan. There is a lot of value in the assets (if they were being properly run) but no broker can give a buy recommend, knowing the number of shares could double over night. That is why the notes are central to, not everything, but a lot of what needs to be fixed.

Jinchuan made a gesture of converting half the notes to ordinary debt. As nur0 reported this is on hold as the review seeks to get rid of all the notes, which is excellent news, it proves they have learned something. The issue for us ordinary shareholders is HOW they get rid of all the notes. The best outcome for us is for them all to be converted to ordinary debt - it is only $21m. Ideas have been floated in the past about doing capital raisings or selling the notes etc. At these low prices this would result in massive dilution for us long suffering shareholders for very little financial gain for Jinchuan / our company. The answer is to start running the company properly in accordance with the corporations act and ASX principles and guidelines (this will make the company cash generative and profitable, once the damage Jinchuan's incompetent secondees have done to the mine has been undone) AND to convert all the notes to debt, which can easily be paid off by the cash generative and profitable company we become, everybody gains, including Jinchuan. It is so simple a child could work it out.