sick, page-18

Agreed Denpal - I think it's a distraction.

Also, I'm not sure what relevance Potash Corp has in relation to MAK.AX at this juncture. To the best of my knowledge, there are only two other Canadian companies which, to varying degrees, are involved in the phosphate space, whereas the USA is a much bigger player in the production of sedimentary-type rock phosphate. The Canadian companies are T.FOS (PhosCan - mkt cap CAD68mm) and V.DAN (Arianne Resources - mkt cap CAD4mm), and neither is currently setting the market alight, which again begs the question of the relevance of a TSX listing to MAK.AX. Liquidity in these stocks is awful as well, and brokerage coverage is practically non-existent.

Like MAK.AX, PhosCan is sitting on a lot of cash (equal to its share price!) as it waits for RP prices to reach a level that would make its Martinson project feasible. It's gone awfully quiet in the past 12 months, the share price is hugely off the highs and reading between the lines, I suspect that overburden makes the resource uneconomical to develop at present. Sound familiar? For its much smaller size, Arianne Resources may represent a more interesting play to PhosCan because its resource is practically at surface and scoping studies show competitiveness. Still, the shares of both companies are in the doldrums if this is revealing of the level of interest shown to junior phosphate explorers listed on the TSX.

I don't have a stake in MAK.AX or POZ.AX, but I follow the phosphates space out of general investing interest. Those of you closer to MAK.AX will know how much it costs to deliver 1 tonne of rock phosphate to port. Australia has a natural geographic advantage in terms of its location to the major fertilizer producers of Asia, but I suspect that the project has struggled to gain traction to date because rock phosphate prices are not sufficiently high enough to generate a margin that would be deemed attractive enough to would-be investors. That said, I take the view that rock prices will continue to creep higher and this should ultimately provide the background for MAK.AX to make progress.