the depreciating dollar, page-2

I think that overwhelmingly a lower Australian dollar is good for Rex.

The key factor remains whether Rex can put together a financing package.

If Rex can't get development funding from Korean banks/export agencies, and/or through off-take agreements, then there will be no tenders to be written because the project will be on ice indefinitely. It's company making or company breaking over the next 6 months.

Surely the project looks more attractive to external financiers now than 12 months ago with the weaker Australian dollar.

You have to wonder how much further the Australian dollar can fall though. Domestic and Chinese weakness would appear to be 'factored in'. The short Australian dollar trade is among the most crowded in the world of any commodity or currency trade.

The market has a tendency to extrapolate the short/medium term bearishness on the Australian dollar to the long term though. This means a good perception of Rex of lower USD production costs for the long term.

Personally I don't see many signs of long term strength for the US economy and US dollar though.

That's a bit of a ramble but as is often said - currencies are notoriously difficult to forecast.