gday to you all,bloomberg article below, page-8

winsol

the bulk of SDL resource is 38% itibirite.

488mt of 60% dso is nice but in a global context and being in africa and that the resource comes from seperate far flung pits its not so great.

if u think SDL has such great potential why did u buy GBG and not more SDL.

were u worried about sovreign risk, some african states are demanding 50% of a mining project and rebellions are a ongoing part of african history.

were u worried that SDL wont start mining until 2015.

were u worried that SDL has not secured project financing which may not be forthcoming under current global economic turmoil.

were u worried that after the local government grabs more of the pie SDL will only end up with about 78%.

were uworried that sdl is too far from china so that shipping costs are much more.

were u worried that the itibirite will need lots of energy to process, where will the electricity/gas/coal/water come from.

were u worried that under current economic conditions and all of the above scenarios SDL sp is over priced.

were u worried that SDL sp is only a product of hanlong take over offer.


so why did u buy GBG?

was it cos is GBG trading at massive discount to its potential.

was it cos GBG has low sovreign risk.

was it cos GBG has its required infrastructure and energy in place

was it cos GBG it has its finance stiched up.

was it cos GBG is close to china hence much lower shipping costs than africa or brazil.

was it cos GBG has already started mining and shipping in 2012.

under todays global economic turmoils, being a wannabee miner with no finance, no infrastructure, far from china, diminishining commodity prices, massive potential expansion by bhp, rio, vale, fortescue, and chinese economic slow down, all these factors will result in a major structural shift in how any new iron ore projects are viewed.

in the WA midwest there is a big question mark hanging over the head of SINO and MURCHISON projects and others.

it remains to be seen how many expansion plans and how many new miners get up under current global economic conditions.

imo the future is not all doom and gloom as china says it will pump up its economy if needed, lets hope the average chinese citizen and any new city bound chinese peasants from the chinese hinterland aspire towards a western standard of living!!