broker report, page-14

The reason I say that it is best to be positioned with a holding right now is that a tiny change in sentiment could make for a rapid re-rating, perception means a great deal. Its why the likes of Goggle always try to get that news grab showing a bricks and mortar substantial head office building, last thing they want is anyone thinking they are a geeky Internet thingo LOL Anyway you get my meaning.

Lynas will soon be the first REE player who has bricks and mortar appeal, dont underestimate what this will do to the perception of who and more importantly where Lynas is going.

I would hazard a guess that even if the southern zone trumped up a doubling of resources the sp would not move a great deal, even add another 30% to RE prices and similarly we would not see a massive move on the SP.

Perception is the key and when it is perceived by the wider market that Lynas has constructed facilities to bag and sell REO, a new mousetrap will have been put in place a good 4/5 years before any other similar offering will be ready.

The SP will inch up anyway, just on reduced doubts, but others will know all about the perception issue and it is this that will catch out the hesitant investor, if they are a serious industry player they really will not care too much about price as long as they get first mover advantage and the new SP price will lock in value for them, one which I dont think has gone away is China Nonferrous Metal Mining how they play it I am not sure but I think they will want in to some extant.

It is why I have said I will sit back and watch the show, I still say anything under .80 as being a good entry, yes .80c. I am sure millions of placement stocks picked up by average investors have been shed due to an unrealistic time frame and a lack of tolerance for some major repositioning in the register as happened in the first quarter.

As always be careful and DYOR!!! So you can work out what YOU think is best for you.