9.5 finish today, page-9

So I guess that dropping out of the ASX 200 will mean that those that were hoping for institutional support in the event of a capital raising have now been dashed. This now means that any additional funds required by KML will be injected via a dilution of GBG's interest.

Simply put, we might as well now classify GBG as an explorer because that will be the only assets left in the end. That leaves us with a couple of dead projects and Shine being an uneconomic hematite project of 7.3 Mt at 58.8%Fe. Sorry, all dead projects.

I can see the broker recommendation now:

"Exploration company with very little funds seeking to raise capital to get the Shine project up and running."

Homeless and destitute. Can anyone spare a dollar.

The question is, if GBG is going to be diluted then why continue to kid yourself and commit further funds to the project. Keep the cash that it currently has dump the dead projkects and go out an find a cheaply priced resource company that has a cracker of a project that can not get the funding to proceed and focus on that. There are heaps of them out there at the moment.

Cut your losses and retain a minor carried investment in KML.

Cut the board and administration costs down until a project can be identified.

If GBG continues to think that it can remain as 50/50 Ansteel will only continue expanding operations until such time as we can not continue funding and we end up being diluted. At that point we will have no cash, a diluted interest in KML anyway and not project.

Management of GBG has to face reality.