What a catastrophic situation for resource stocks as a whole....

What a catastrophic situation for resource stocks as a whole. May I also compliment the insightful comments made by people on the BRM thread.

The implications of the RSPT are so complex, Kevin cant even explain them. It reminds me so much of John Hewsons attempt to explain GST on a cake. The GST introduced by John Howard years later was a shadow of its former self and lets hope the RSPT will also be modified or preferably scrapped!

The key to all this is the Senate. No formal word from the Libs, Greens, Nick Xenophon and Steve Fielding. It concerns me though that Senator Milne from the Greens initially welcomed the announcement of the Resource Super Profits Tax although she flagged making improvements on its structure. This does not bode well. Have people gone completely mad!!

To think Kevin has overseen the cocking up and rorting of the insulation program and school building program and yet still feels capable of introducing his resource tax. What a friggin joke. The long-term consequences of this tax will no doubt be catastrophic to the resource industry moving forward. As for BRM, this couldnt have come at a worse time. Regardless of the outcome of all this madness we must secure project funding within 9 months max. The dilution I had no longer feared is imminent if this isnt resolved within the next 6-9 months.

The lack of foresight from KRudd astounds me. As Michael Happell from PricewaterhouseCoopers said Its a tax on profits, not super-profits.

Quite simply we can look forward to lower profits, lower dividends, less growth and development. The negative consequences scare me.

Screw you KRudd. May the senate have the foresight to comprehend the negative long-term impact of the RuddSuxPlentyTax!