Nothing to do with the gold sector!! Where do you come up with...

Nothing to do with the gold sector!! Where do you come up with this crap!! SGW's problems are a result of mis-management going back to the Pacrim days and the reason why the Lalors were dumped. Their gold mines are low grade, low reserve and high cost operations. The only thing that has kept SGW viable over the last 7 or so years was its hedge book. When gold was trading at US$250, SGW had its gold hedged at over AUD$600 per ounce. Around that time there was also a write up in the business section of thw West Australian that stated SGW was better off buying their gold from the Perth mint and re-selling the gold into their hedge book because the spot price of gold was substantially lower than what they could get it out of the ground for. The only asset of interest for SGW is their Tantalum mines. Having said that, I have heard that Wodgina costs are rising alarmingly. Greenbushes is still a very profitable operation. I have stated in the past that SGW would dump their gold operations on the market because they were unprofitable. I also said that the people that were buying these shares when it started plumeting a month or two ago had rocks in their heads. I worked at SGW in the late 90's and they were a cowboy operation then and could not be compared against a Newmont, Normandy or Rio Tinto operation as far as proffessionalism and management go. Add to that the old saying you pay peanuts and you get monkeys about sums up SGW. As I tell everyone, the WA Salvage of the mining industry without the profits. Only work there if you need a start in the mining industry as I did back then!!