Analysis only please

So what does the ASIC prosecution really mean for the company?

Can we PLEASE limit this to an analysis only thread. If you:-

• don't hold and never intend to hold;
• might hold but have an agenda to get the price down to where you will buy;
• want to up or down ramp without a well considered and argued basis for doing so;
• want to say "I told you so!!!";
• bag the company or the directors; or
• have a go at fellow posters,

please resist the urge to do it on this thread and do it somewhere else. Leave this thread as a place where we don;t have to sift through that s..t.

The ultimate objective of this thread, is to get informed comment for those rally interested in the answer, to collectively try to work out whether this is a great buying opportunity, or if the whole thing is a dead duck.

I saw one post to say the likely direct financial cost to the company is unlikely to be huge - a few hundred $K maybe. Any informed comment on that would be much appreciated.

The search for new management with experience in mine development project management and production was flagged a little while ago. That makes sense in the context of gearing up in the expectation of actually getting finance. That had been comforting to me.

However, the reputational damage caused by the prosecution is undeniable. The recent activities report shifting the expected financial close date back 6 months was not lost on me. The ASIC prosecution gives a whole lot more context to that development. Management will want to be able to show potential financiers who will be running the show going forward and what the lawyers are saying about how much to put aside.

Is it a deal breaker? I think not. The resource is undeniably there. There is a need for it. It will be developed. Can the new team be trusted to deliver the project? I think that is the equitation the financiers will be considering. We can't get a handle on that until we know.

I finance does fall over, they should just invite a takeover. We might all be pleasantly surprised in what someone is willing to pay for the resource in the current economic climate.

I suspect that may be in the minds of the people currently hoovering up the shares being dumped at this price. 6M traded yesterday. There will be some sort of floor in the SP as a result. I'd love to have the time, information and resources to try to work out what the fundamental valuation of the company is. The serious traders 9with the inside knowledge) will have done the exercise.

Also, this is a leaky ship without doubt. The fall in the SP in the last month was no coincidence. Same leaks will be telling the same people whether this prosecution is a deal breaker for the financiers. Are those people buying now? Your guess is as good as mine - my guess is yes, but I'm a glass half full type of guy.

Please respect the title and spirit of this thread in any response!