maquarie upgrade to $14 fyi, page-13

Hi freiman

I agree lower AUD does help CTX margins as it is paid in USD however the unorderley exit from the currency also puts a huge increase in its payables (short term)

Whilst their is a currency gain, Margins per barrel have fallen from resent highs, but have not recovered anywhere near last QTR last year 2009. Demand is lower as storage for example in USA are FULL in lousianna.

Government Super profits tax has already casued quite a few companies to announce the shelving of developments, developments need alot of diesel during the building prcess and Diesel was a main source of growth of CTX.

It has fallen back to net asset value 10.60ish and for a long term investor its probably a fair investment now. Short term however its, like many other companys on the board hit buy negative senitment caused by negative Global sentiments to risk and accelerated by the Australian Government sudden policy change with regards to taxation.

Its funny, it used to be overseas and developing countries that casued GeoPolitical risks to capital. Nuts in africa blowing up things, lack of the rule of law , nationalisation of assetsetc etc, now developing countries, like austrlia, so called developed and safe places to invest capital and take risks are changing laws at a whim to win votes and attempt to plug a whole in their finances.

China may not slow down but the current proposals by the Australain Government are making Foriegn Capital look elsewhere in the chase for the almighty profit. Our Government is doing its best to Shatter the China Bull but it appears that they may just move afterall on Government bond rate threshold which from most accounts is fair and nuetral..if they do their should be a fairly desent bounce in the XJO which includes CTX