Ann: 2012 Full Year Financial Results announcemen, page-6

re: Ann: 2012 Full Year Financial Results ann... In theory the share buyback should support EPS in the long run...this will help dividends per share in the future years beyond 2014......

As a long term holder I think that the theory there was OK but with the huge SP drop in most aussie miners bottoming out in 2h 2012 maybe OZL buyback could have been better timed. With the benefit of hindsight we know this, but I cant criticize because i didnt predict the huge SP fall. I dont really know the answer to that but hopefully in a year or two we will all look back and feel smug about averaging down in the dip from August 2012 to Feb 2013.

If they can keep dividends at the upper end of 60% of net profit then as we move into the better mining conditions (reducing overburden removal) in 2014 us long termers should benefit in terms of EPS as net profit increases (assumption here is that Cu and Au hold in terms of CPI indexed price in AUD).

Having the massive wad of cash not being fully employed means that

a) we wont need debt (good)
b) we have an opportunity to do something to fast track growth organically at C and PH with it (could be good - some risk)
c) we have an opportunity work with / take over a junior who has a nice asset where a business case with reasonable chance of success exists to do so. (might be very nice but seems to be off the table)

Hopefully $6.50-$7 region was the bottom.....thats where i averaged down.