...This may give some of you an insight why it's diffcuilt to sell Aussie assets especially mines..... Just having a mine is nothing special and the whip hand has changed from having an asset to be able to provided a route to market which included port and rail facilities.
I can't wait for the latest update on Teresa only a couple of weeks to go and it's october.
Do any of you remember "I expect Teresa to be sold within 90 Days, this statement was made in early August 2011."
This is what MR Bogolyubov who owns ConsMin had to say as reported in the Australian 25th September 2011
Asked whether he plans further investments in the Australian resources sector to add to his ownership of ConsMin and stakes in OMH and iron ore miner BC Iron, Bogolyubov says he would like to do more business in Australia "but to do business in Australia you have to start from the end".
"You cannot find natural resources and think you have a business -- you must first have a port allocation.
"You can find a billion tonnes of iron ore in the desert but you can't do anything with it. You have to go to BHP or Fortescue (to enable rail and port access). That is why for us, as a foreign investor, it is difficult."
Bogolyubov says investing in Australia is very expensive, but until recently it was at least viewed as a relatively stable investment destination.
"Up to now I felt (it was stable). But now everyone is talking about the new (mining and carbon) taxes and about big changes.
"How can you talk about stability if you don't know the financial situation?
"Australia is a good country but production has become more expensive. So my investments will concentrate more to Africa. Maybe capital will move from here to there."
LNC Price at posting:
$1.79 Sentiment: Hold Disclosure: Held
