valuation, page-5

BTW - had direct communication with the author - indeed he reckons production is critical within next two quaters but his money (real) is saying they know that and will do it - hence retention of buy rating

Ok I was as dissapointed as anyone with yesterdays announcement - felt like jumping in the car and driving down to Roseville and throttling someone - now that I have slept on it - the other side of the coin is that yes we have a new management - yet to prove themselves - and yesterdays announcement didn't at first sight give me any impressment on them. However, Mark Taylor's Huntley note saying the board has cleared the deck with resource downgrade suggests to me maybe the new board knew full well that the old estimates were dodgey - hence while price is down - lets clear the decks - wipe the slate so to speak - get all the rubbish out of the way and then from production start up we can rebuild on a solid no bs foundation.

Lets face it - the delay from last year was due to decisions taken by the old board - not the new one so I spose ina round about way - by downgrading they are showing dare I say it ............honesty - if they knew in their gut that the resouces would be downgraded with a modern reassesement tey could presumably have just not done the estimate - couldn't they?


The more I think about it the more comfortable I am with it .......provided production doesn't present any insurmountable problems - and discussion with peeps on the ground this morning suggest - yes, of course there will be problems with ramping up to full production - THERE ALWAY IS - however the expectation is that they wont be show stopping problems and when they arise they will be dealt with.