a sad outcome, page-28

Sharpshooter,

I still maintain that your points regarding the cash and earnings position don't stack up. This is the area that I'm trying to ensure that we only discuss fact. Your points about the cash spend etc do not warrant concern at this stage.

I have not once said that your points regarding WD in the light of reduced grade or production are not a concern. All I'm saying is that it is something to watch. This level of uncertainty presents an investment opportunities depending on how you see it: either WD is okay and RMS is stupidly cheap or WD is not okay and RMS share price makes sense. If you think WD is not okay then you stay clear, if it turns out otherwise then it is an opportunity.

Again, linking the CR to WD doesn't work. There is no justifiable way to link $150m cash requirement with a declining WD. They aren't using this money to keep afloat. The only logical explanation is that they are going to make some sort of big acquisition. Remember they not long ago they found the highest grade to-date - surely there must be more gold.

With regards to MtM, you said:
"The cash raising is for a more "aggressive development" of Mt Magnet and "asset level acquisitions". Does Aggressive development mean "development blow-out"?"

I don't see how. They said they can increase production capacity with some extra spend. As long as the costs are under $1k/oz then MtM will be a fantastic addition to WD.

"Do you ever wonder why a large gold mining comany would sell a 3 million ounces resource for only $40m?"

Have seen a lot of resources sold cheaply. What about NST picking up Paulsen's mine? My understanding is many of the current smaller producers picked up cheap and unwanted tenements that are now performing strongly.