According to ASIC reporting (accuracy not guaranteed), the...

According to ASIC reporting (accuracy not guaranteed), the extent of short selling in Lynas has almost doubled during 2012, with the aggregate short position rising from 6.8% in January to 13.5% of total shares as of the present time.

This represents more than 230million shares (No, that is not a typo)!

Putting this into some kind of perspective - 230million shares is the volume of shares traded in Lynas between September 14th and yesterday (19 trading days) - altho' volumes have been much, much higher on certain days (152million on Sept 6th, when announcement made that TOL been issued - for the second time).

What does this mean?
For my money, either these shorts are convinced the TOL will not make it through the repeated appeals process (or will be repeatedly delayed until the Malaysian election), or big money is speculating that Lynas will have to go back to the markets for additional funds to support its working capital commitments before it is cash flow positive - (read Capital raising).

Any big announcement confirming first to kiln in the next month is potentially going to send some proportion of 232million short sold shares scuttling for the exits - which could be music to the ears of many.

Ahhh.....
"To sleep, perchance to dream - ay, there's the rub."

Here's hoping!!

GLTA long holders.