Excellent post from Trix 1 -

"Why it has been quiet.

my best guess (perhaps hope) as to why it has been quiet for such a long time is this.

Cliffs has been discussing with KWG what price it will take for a friendly takeover. Some of the reasons for this theory are:

1. Cliffs knows they will have to buy KWG eventually so sooner is better than later.

2. They now know that KWG can dirty up the process such as their intention to split off the railway rights and the NSR. Cliffs surely understands the importance of the railway.

3. Cliffs will always be considered an insider of KWG (10%) so any takeover will require a valuation. That valuation can only increase as drilling is done and the inferred resources are moved to indicated.

4. KWG is the operator until April 2011 so they will influence what is done (deeper drilling, scoping studies and preliminary feasability studies). This will increase the value.

5. As part of a friendly deal, KWG will agree not to dissent their SPQ shares. This will save Cliffs time and hassle to complete the Spider takeover and probably save them a few bucks when buying out the remaining SPQ shares. After all, if KWG doesn't foot the legal bill to dissent, who will? Trix"

These are all excellent points and I think make a lot of sense. This may indicate why our Board has been so quiet since the news on July 9th regarding holding on to their SPQ shares for a valuation. When Cliffs announced the proposed takeover in May of both SPQ/KWG, they very much wanted both KWG/SPQ, why would they now decide they don't want KWG with a potential 30% of BD? Obviously the price is being very controlled and is only allowed to deteriorate not appreciate so something sure seems to be in play. rj