in the long run were all dead

Firstly a re-post from one earlier, appologies for laziness.

" There are question marks over the valuation “game” being played. Is it for real? Why does it take 5 (now 7) months when it is only a simple thumb-suck exercise anyway? This no mining study, just a blue sky lets look at similar projects on the market, how longs’ a piece of string type stuff.

Where are the buyers? Anyone who bought the story in the last 6 months has already bought shares and at a price higher than 8c. The cheap issue shares were flicked out into the attempted price rallies. So, all the believers are full having bought into the rallies and averaged down on the dips. Anyone in HC still buying the dips? Pregnant pause…I didn’t think so. SBS has lost momentum and any faith or good will.

Everyone here is either looooooong term like Oly or waiting for the Asmara valuation to lift the price to take some (all) money off the table. If most people here are waiting for the valuation then perhaps most everyone is waiting for the valuation. But if most people have bought the rumour to sell the fact, who is going to buy the long pending fact when it arrives and we all want to exit at the same time?

I can hear the cogs grinding. That’s right; it will go nowhere. Fear and greed drives the share price and all I see developing is fear. I repeat, who will bid the shares up knowing it will be sold back down by the multitude fed up investors waiting to get their money back?

Valuations mean nothing if there are more sellers than buyers. Short of a takeover there is no means of deriving value once the market has turned sour on a company. Value can be destroyed by management through dilution and wastage just as quick as good projects try and add value. "

I'm afraid the chart and selling pressure portents bad news. Inside sellers started up in earnest week of the Qtly release with volumes rising over 5 days from 300k to 2500k shares before release. Bad news tends to leak out rather than come up front with a bang.

Relentless selling pressure in a relatively good junior resource market suggests that news may be coming we won't like. Possible reasons beyond the obvious (no news, missed deadlines, cash burn, impatiences, etc) may include the following:

1. No deal to be done with SGC. Having seen their SP go north of $3 may have thought better about paying a "take-over premium" for 30% of Asmara by issuing $1.90 script. The recent increase in SGC SP coinciding with SBS dropping would support this hypothesis. The whole protracted valuation either suggests tuff negotiating or dis-interest by SGC in reaching any conclusion?

2. Barrick resource is looking much smaller and lower grade than market was hoping for. Due in August, preliminary numbers would be well known by now to those involved in Perth consultancy (insider trading from Perth! never shock, horror ...).

3. Market waking up to the massive cash burn and dilution for Zara drilling, which may be coming up a duster as I write?! $1M spent in June quarter for virtually no exploration, including $0.5M for admin. At that rate multiplied by 3 or 4 with Zara only cranking up this quarter market might be seeing paper burn as a way of life for SBS.

What if all the above is true? Starting to look as ugly as the bid depth is at the moment. Are daily punters bailing because they lost patience just before the August Valuation announcement or because they heard something we haven't?

We will of course find out in the fullness of time. In the short run, shareholders, if not the company though certainly not management, may go broke waiting. It the long run it doesn't really matter, as Keynes once said "in the long run we're all dead!"

(ps this is not a down ramp. I hold, I hurt, I hope!)