Ann: June 2014 Investor Presentation , page-24

yes er6n, I read that post. I still think that overall, AGO is treading water for now.

You clearly are experienced in regards to resource stock investments, so I think in relation to AGO hitting deadlines, you are incorrect. AGO, somewhat like FMG have hit long stated targets even during 'Iron Ore' price shocks, the GFC etc. Of course they did not stick to exact days, weeks or even months, but the projects they completed are big, and their execution is not in doubt. Also unlike FMG, AGO realised early on that trucking would mean they actually would become an Iron Ore export unlike the 99% of resource stocks that simple shrivel and die. AGO are clearly able to think outside the normal conventions of IO production.

While I do agree that the Stage 2 is in doubt in the current market, I think most investors already realise that, especially since it is abundantly clear that getting the rail is going to cost too much right now (it would indeed help if IO was at $150 per tonne). Australia is just a bit too expensive. So.... what should a smart company do; keep trying to get the rail built, but also not hang themselves out dry in doing so. You imply that if they change plans they are a failure, well again, I disagree, a well run business should make hard decisions when required, not to go, oh ok, we said we would do that so lets do it, even if the company goes under.

You know as well as I do that AGO cannot 'force' a rail deal, they are dealing with many entities, some supportive, some not so. So are you saying that AGO should simply say 'hmmm.. we are still 100% focused on Stage 2, but because we cannot be sure we will achieve it, we are not really going to talk about it.... Its managements job to entice investors to want to hold AGO stock, pretty sure its possible expansion plans is a big deal and worth spruiking, even if its not going to occur this year.

I am sure they would have wanted a rail deal done by now, but even ASX listed mid caps can be wrong in their estimations of when a deal will be sealed. No doubt about it, no rail deal has been done, but do you honestly think it is because AGO did not want it to go ahead?

Yes of course the main problem is the Iron Ore price, but as any producer knows, there is only so much one can do to mitigate this. I grew up on a farm and after 30 years of watching the prices of wool, beef, feed stock etc you just have to roll with the punches.

Plucker, I think AGO should indeed provide a plan for the next 3-5 years, which would explain possible avenues for the business to grow even in a low IO price environment. I expect they will do so, however its not something you just come up with in a month. A injection of funds or sale of a stake in 1 or more of the projects may be a viable option in the future (perhaps their new Indian customers will decide that they want some secure sources of IO). Of course, if the IO price bounces back to around U.S $130, then most negative posters will move on.

AGO is no GBG.

Perhaps worst case AGO sells its port space, since the market gives it no value anyway... and since they don't think Stage 2 will even happen, there is 0 value their either. AGO could comfortably produce 10+mtpa for the next 10+ years and just pay out a steady dividend if prices stabilise. I think the company has many options, whilst I am sure that whatever they choose will be attacked I think management have shareholders interests at heart.

If anyone has a clear example of where AGO management have not put the interests of shareholders first, I would be interested to hear of it (although that is a fairly subjective topic).

btw, er6n, I love how you totally ignore my point about SDL.

redrockgeo, while the changes you mention would not be in direct line with AGO expansion plans, surely they are something worth looking at, even if they implemented only some of them at perhaps 1-2 of the mines.

Anyway, I find it a little sad that so many posts are negative, sure the SP is down, but to consistently attack the company when many admit that the IO price is the main issue is just petty. Good luck to all longs.