Thanks Surfdown. It is very weird that the reserves would be so...

Thanks Surfdown. It is very weird that the reserves would be so low compared to the resources, particulry for an acquifer where you are basically just sucking up salty groundwater. Would really like to understand what the technical issue with the reserves is.

The company announced that the environmental block on the issuance of new permits did not apply to HMW as it was outside the area of complaint, but it has to be a risk.

Right now there is a danger that this stock is going into a classic death spiral, as all potential funders withdraw as they believe the company is going into distress and they can get a much better price, while the market can see that too, and sells out, hoping also to buy in at a much lower price. I managed to get out at 54c, but will buy back in if I think a turnaround is in sight.

The best thing the company could do right now is announce a halt to construction and an accelerated search for a strategic partner. It could probably line up a small (eg $10m) loan facility to see it through G&A/C&M for a few months if necessary. JP has done an amazing job getting this project up and running, but he has now lost all credibility in the market. In the interest of protecting his own investment, and obviously that of everyone else, he should step aside as MD. They need to find an Aussi CEO that Perth trusts.

The company also needs a credible new Chairman (who doesn't do side deals for himself) and recruit a seasoned development Finance Director who should be on Board and have a loud voice. It is not too late to stop a complete share price collapse, but the Board needs to act quickly and very decisively.

Am guessing that any strategic or rescue investor would also demand serious changes to the Board and leadership.