An Updated Analysis, page-18

Some time ago, the theory was expressed on HC that the shorts on this company were largely people laying off the risk associated with the 55M outstanding warrants. This is a theory that makes sense to me. In the intervening time, the level of shorts has risen from around 7% to 14.1% according to shortman.com.au . That is equivalent to the entire 55M warrants being covered by short sold shares. So it's just about time to test the theory. If the short selling plateaus now, and the down draft on the SP that this represents dissipates, then the theory has stood the test.

Cheers,
Tim.