Ann: Half Yearly Report and Accounts, page-8

Some smart people are still saying to avoid mining related firms as they are trying to lower their costs relative to each other, and this can easily become a race to the bottom. I think this is a bit of an extreme view though. For a start, this sector is a valid long term part of the world economy, so a wise investor should have a stake in, in general. Second, things don't necessarily get a bad as they can get. The market could just get up and get going again. Third, at the moment the sector is in a clear 'value' stage. It has been in retreat for about five years, and downturns don't usually last that long. We are likely to be closer to the end of the cycle than we are to the start of the cycle. These sorts of factors bring out the emotion in me. You have to get in early if you want to catch the worm.