Ann: Rights Issue Closure and Shortfall , page-11

Noting that they have a seat on the board and the capital raising was for funds to purchase and provide working expenses for the new NT mine I would suspect that FWL has TFA's full backing. The only other option is that they are averaging down on their investment and if the case then they like most others that do so will end up with significant losses.

Don't underestimate how bullish a falling AUD and rising USD is for the aussie miners. All of a sudden those construction and production cost blow outs that have been rampant in the aussie mining industry over the last 5 years start to reduce. Then you have the added bonus of the product you sell rising in AUD and thus profit. GBG and CITIC would be in a hell of a lot better situation today if the AUD had have stayed closer to 80 cents during their construction and ramp up phases than what they are now. High cost Labour and services married with a strong aussie have decimated nearly all industries in Aust in the last 5 years.

I still think the best outcome over the medium term is for TFA to launch a takeover for say 10c. It would cost them $10M and they could run the show how they like. If they get to 50% the pig iron will probably be scrapped which is not such a bad idea. Not sure whether the pig iron plant in the US is going so well as I have not seen FWL mention it of late.