buy side stacked, page-32

andracorr,

Debt free is not at all misleading. In some ways, your analogy of the $300 million coming off a tree is most apt. This is exactly what will happen. The agreement is for the debt to be repaid through mined IO. So, in 10 years time FAS will be debt free. Unless, of course they expand mining and require additional capital - but that is how companies grow. Effectively though, the SHIP tenements will be debt free. I concede that this is a gross oversimplification of the situation and that much needs to happen in the interim. However, the plan is simple; the ore is lying there waiting to be mined, Native Title agreements are in place, mining leases have been granted and all we are waiting on is the crucial offtake agreement to get this show on the road. As long as there is enough ore to pay off the debt relating to intial set up and mining costs then FAS will have the balance of ore left as pure profit. The figures suggest that that balance is a significant amount. I don't think that anyone would argue that if this deal comes off then this company is worth significantly more than the current pittance of under 5c per share. I suppose that it is down to the individual whether they think KR will take this company to the next level or not. My own opinion is that we are very close to seeing the SHIP project finally launched. We all need to do our own reseach and be comfortable with our own decisions. So, as always, DYOR and the above is IMO. Cheers.