posco , page-2

landzt,

I don't think there is anyone and especially in this climate.

Posco pulled the pin in 2010 on a project in Murray Basin due to "financial markets", I'm guessing they will use that script again.

Also, Iluka are running this game, they have the projects, they have the resource, they have the capex, they have the contacts and they have more importantly the distribution network.

I think if the Coburn project is a goer like management say, then they should build a $10-15m "upgrade-able" plant. Something like Matlida has done in the Tiwi islands. Okay, it won't bang out anything like the forecasts, but at least it's something and could quite well be funded by present shareholders, some bank funding and possibly an offtake agreement. It would also give you the ability to expand it via cashflow.

Now I know of a privately held company in W.A. that did just that in 2006. They bought an old pilot plant out of South Africa (for near nothing), rebuilt it, upgraded it, threw on an extra set of spirals and they sell the concentrate to the chinese out of geraldton (based on Iluka's price). It now has six staff, it's move-able and the initial cost was $2m. At the time people thought he was mad, but you don't think he proved them wrong. The key was to just make a concentrate, keep it simple and nimble.

On the other hand, you could say that Coburn needs a large volume throughput, because the grade is below industry standard. But doing something is better than nothing isn't it?

Just a different view.

Pep