Ann: 2011 Annual report , page-2

I just had a good half hour read of this report. I thought I would summarise some key points below with you all, with the aim of creating more interest in the GWR thread.

This report has some interesting things I have not seen before such as details of executive remuneration etc. (this might be a new ASIC requirement) and lots of other new transparency related sections on the operations of the company.

The most intriguing sentence was in the introduction which says that GWR will:
'seek additional hematite iron ore resources in the Mid West and Yilgarn areas'

This mean they are going to buy more iron ore tenaments. I do hope they do as it should pay off better than further defining Wiluna West, which now must be the most carefully examined site on Earth after five years and $50 million of exploration.

Also in the introduction is the promise that we will be seeing gold!
'Plans see the commencing of [gold] mining operations within the next 6-12 months'. They state they have an estimated 250,000 ounces which at current gold prices I calculated is worth over $400 million (about 4X the current market cap of the company).

Also further good news is that the annual cash burn has dropped to $3.8 m, the lowest ever. I still can't believe that they managed to spend $50 million in just three years from 07-09.

As far as when we will be seeing iron mining don't hold your breath - the company has been pursuing a dual strategy of Esperance and Oakagee. It now looks more likely that they will be exporting from Esperance once it has expanded(at least in our lifetime).

They have also updated the top 20 shareholder list for the first time in a year. Can someone explain who might be behind Nefco and HSBC nominees? One of them is Mr law and I can't work out who the other one is. I do not believe it is FAS as their holding is now split up and owned by their creditors. This is a good thing as the sooner FAS association with GWR ends the better in my opinion.

1. Nefco Nominees Pty Ltd 36,450,048 18.98%
2. HSBC Custody Nominees Aust Ltd 27,641,885 14.39%
3. Cliffs Asia Pacific Iron 24,276,852 12.64%
4. Hunan Valin Steel Co Ltd 14,400,000 7.50%
5. Walthamstow Pty Ltd 8,500,000 4.43%
6. Aust Conglin Intnl Inv Gr 7,213,099 3.76%
7. Fairstar Resources Ltd 5,316,708 2.77%
8. Citicorp Nominees Pty Ltd 4,655,362 2.42%
9. Rubicon Nominees Pty Ltd 4,646,849 2.42%
10. National Nominees Limited 3,484,460 1.81%
11. Wilson Michael Reginald 2,084,438 1.09%
12. JP Morgan Nominees Aust Ltd 1,695,913 .88%
13. Bonaccorso Garry 1,685,000 .88%
14. Phillip Securities (Hong Kong) Ltd 1,642,891 .86%
15. Yijian Investment Co Ltd 1,600,000 .83%
16. Dolphin Technology Pty Ltd 1,536,488 .80%
17. Goldlaw Pty Ltd 1,500,000 .78%
18. Rudd Alan Paul 1,400,000 .73%
19. Shashua PL 1,370,000 .71%
20. Uob Kay Hian Private Ltd 1,017,000 .53%

Please post your comments/opinions or other items of interest from the report that I have missed.

Oh and if you have cash lying around buy this stock, because at 40 cents it is ridiculously cheap for so many reasons.