Ann: Change in substantial holding , page-9

Well, I am not so sure. I have been studying the last quarterly report, which gave us some annual production, development and exploration numbers.

Roc has crashed in share price from 74c a few weeks ago to now around 38c. That's a drop of almost 50%. Market cap is now around $271m, and it was $530m. so, that's some $260m wiped off the market cap.

ROC gained its revenue in 2009 from Cliff Head ($30mUS); Zhao Dong C&D ($82mUS); Zhao Dong C$ ($7mUS); Chinguetti ($6mUS); Enoch ($16mUS); Blane ($30mUS) and the now infamous BMG $30mUS) for a total of $203mUS in sales, of which BMG was some 14.7%.

For the year, total exploration and development expenditure was $72m, of which $40m related to BMG.

Let's face it, it looks like BMG is probably a dog. They have thrown a lot of hoot at it, and it perhaps just does not want to come up to scratch. Who knows...perhaps the jury is still out (just).

But, do you see where I am heading here. Just because BMG might well be a dog of an asset, does that justify stripping half the value away from this enterprise?

We still have 6 other production assets which brought in $170mUS of revenue in 2009. From the quarterly, "ROC remains well positioned to pursue development growth opportunities in Australia and China". I don't think this situation at BMG actually affects that proposition does it.

You will note from the last quarterly, they achieved $50mUs in sales without any contribution from BMG.

Strikes me this thing is way undervalued now, given their 5 other producing assets, operating cash flow, and project development and exploration upside.

Have any of the brokers done an in depth analysis as yet?