Dear Copperians and NDO supporters,I have been reviewing NDO...

Dear Copperians and NDO supporters,

I have been reviewing NDO annual report 2009 and has found something quite interesting regarding the losses of AUD$28.3m posted. I look through the recent posts and I have not found any posts highlighting this unique factor.

Firstly, this AUD$28.3m is not attributed by the higher costs of sales but rather it is the unrealised exchange rate loss that the corporate accounting has to reflect(look up in item 1e in page 71 of Nido annual report 2009). Almost all of Nido cash are tied up in the USD accounts and has not been exchanged back to AUD dollars and hence this unrealised losses has not even affect any of their operations as they paid almost the costs in USD, even to the extend, the interest and principle repayment of the convertible bonds. IF this exchange rate is not factored into this accounting report, Nido would have post a very exciting P/L and attractive P/E.

I do hope that this unrealised loss of AUD$28.3m will not affect any NDO investors from shortchanging themselves as fundamentally, Nido corporate accounts are still solid compared to most of their peers in oil and gas exploration industry.

P.S. Their AGM is on 21 May 2010. We, as shareholders, will be meeting the directors soon. If any shareholders have any questions in mind, we could send questions via [email protected]