Okay, let's play pretend for a moment and believe in fairies at...

Okay, let's play pretend for a moment and believe in fairies at the bottom of the garden. :0

Three years ago, when they sprung the SuperAlliance "irrevocable deal" I spoke with a couple of analysts who (apart from being incredulous) said it might top out at .35c if it ever hit production. (I can't recall the number of outstanding shares, but they had a few more years of 3Bs to dilute since)

That was a lot of "ifs". Getting out of Esperance. Finding water. I think ore was still trading around US$120 a tonne back then. Demand existed but was slowing.

Okay, I'm as cynical (for good reason) about these buffoons as the next HC poster, but the fact also remains that a lot of great returns WERE built during downturns.

So let's run with that for a moment. If we factor in that the historic LONG TERM base price for ore has been around $US30 a tonne, then anything north of that is a bonus. We are led to believe SHIP is low cost, no drill and blast etc. Start up costs, plant, CAP EX were forecast at boom prices. All of these have dropped. Then there is the fact the Oz dollar has sunk. Okay, so things might not look quite as bad.

The other wild care is we don't know how much ore is in SHIP north.

I'm still with the fairies at the bottom of the garden. So if these guys could survive until things pick up then they might just jag a deal. That's the name of the game for juniors. Cut costs and hibernate.

BUT, these guys aren't in that position. They couldn't cut a deal when the world was screaming for iron ore and it topped $US180 a tonne. We have a stranded asset with $5.67 in the bank and Kevy and the KeyStone Cops of Australian resources running the show.

In short, present board and management would, IMHO, need to go. We also need money, ASAP.

Ergo, we have all done our dough.