fairness to shareholders, page-45

Yep, they think there's one born every minute. I bet they've based the 20c a share on the original IPO of Flinders Diamonds which was at 20c a share way back in Feb. 2002.

My hunch is that their argument would be that if they could flog shares for 20c way back in 2002 when they had nothing much other than hope, then, this time, it should be easy because now they they have actually found stuff.

But they'd be wrong.

In Feb. 2002 it was definitely a worthwhile punt based on pure speculation and the credentials Dr Wills brought to the table.

Now, 8 years down the track, sadly both those aspects have lost most of their glitter. Despite those 8 years of dogged searching they've found nothing to justify a commercial operation and now, most reasonable investors would say that times probably up for them. Certainly the iron ore team are of that opinion, hence the planned IPO. They simply want to concentrate on iron ore and stop spending more money, and time searching for diamonds.

There's an old poker proverb... you've got to know when to hold 'em and when to fold 'em.