vote no kowalick nc, page-21

re: vote no kowalick: I have thought long and hard about this.

Just to put it into perspective:
- I first purchased shares in Arafura 2/3/05 and my last purchase was Thursday this week.
- I have spent many many hours reading every thing about Arafura and the areas that they have tenements, I have shared this information in good faith.
- I have met several members of the management team several times and have spoken to them on odd occasions.
- I was not disappointed with the departure of Marcus Rose as Director and had stated my issues with him in postings here.
- It is my firm belief that Arafura represents a great investment and this is represented by my continual purchasing of shares and options to now be dramatically overweight in this stock. Like many others, I am sitting on quite reasonable profits but by no means look at current price as a fair indication of the value of this stock.

- Norm is the person that knows the Arafura tenements better than anyone (he put them together) and is also a major shareholder (Probably number 2 or 3 as an individual?).

There is no argument about the quality of Arafura's assets:
- Nolans Bore has +$7bn in-ground value.
- Mt Porter has +$30m worth of gold.
--- These are JORC compliant.
- Income from Territory Iron is not far away
- We have numerous Joint Ventures currently in play.
- We are a major shareholder in Segue Resources (No 3)
- We have some great exploration plays that are in action or about to be in action that we own 100%
- Have the 'blessing' of NT Govt.
- We have successfully concluded negotiations with NTLC that will prove to be very beneficial in the long run.
- We can look forward to a vast array of positive announcements over the weeks ahead.
- And of course we have the demerger coming up. (Gee they are a lazy bunch of people)…

Has this stock under performed?
- As stated above, many holders are sitting on decent profits although some people who have bought at peaks will be suffering.
-Arafura has lagged other uranium plays; does this represent the Boards failure or the failure of the market to come to grips with what Arafura has?
From one perspective the market has not got its head around Rare Earths. This can also be seen by the performance of Lynas' share price (Arafura has performed better since listing), to criticise the board for this is quite unfair (remembering that Lynas has had the ‘advantage’ of ex Macquarie management and still has not helped).
- Analysts have not understood Arafura as a uranium play either, the ultimate example was the company that said Arafura was exploring in "Niger, Canada, Kazakhstan", this was Merrill Lynch!
http://www.billcara.com/archives/ML%20July%2012%202006%20Uranium%20report.pdf

- February thru to April, at the time of the SSPP announcement, Norm was also screaming for blood and threatening legal action on this site (some posts deleted). Did this have an impact on share price? I know people may argue that HC does not impact on the price of a stock; however very few listed stocks would have the number 1, 2 or 3 holder in the company commenting on HC. I think it is also fair to assume that ‘Hotcopperites’ do hold a large portion of this stock; most of us for the long term.
- It must be stated that our last run in sp came to a screeching halt with SSPP hitting the market at the end of April, there is fair argument that this was badly managed.
- Norm is credible and straight from the postings I have seen.
http://www.hotcopper.com.au/post_thread.asp?fid=1&tid=286176#927041

All that said, I have seen no wrong doing by Ian Kowalick and, like WallyGreenblatt, I don’t want my company to be booting people out to prove a point. Either he is up to the job or not.
What is the alternative?
I have not decided how I will vote and will not be putting my decision forward, I will say that I would be surprised if Norm is able to get it up and that if it is done poorly it could be counter productive.
When the dust settles as shareholders we need to be united behind our management and support them (and I have stuck it up them on the odd occasion). Getting bogged down in rubbish is not in anyone’s interests. I will not comment on this anymore.

I must say that I find it quite disappointing that we are commenting about this when we should all be celebrating the start of drilling at Lagoon Creek. This has real potential to make holders very wealth (very quickly), all the marks of a good play are there and we are getting it drilled for nothing. Refer previous post on ‘our little secret’.