anyone follow this gem???, page-17

DVN is exposed to Melbourne in that it is a huge project but it has yet to sign a construction contract with Multiplex. The cost of building in Melbourne is higher than other states and it has increased another 15% to 20% since DVN's Docklands project commenced selling off the plan. The market sees the risk that it may be shelved due to cost of construction resulting in little profit or potential losses due to costs increasing a lot higher than anybody expected.

We shall see, DVN will say something soon on this matter according to an article in the Australian newspaper.

If it is shelved, DVN will incur significant losses from this project. First of all they lose their deposit with the Docklands Authority, plus writing off all design and marketing costs which will be in the millions. For a comparison the shelving of the Georgian project in Brisbane costed DVN about $7 million. But, despite this they still made a profit that year.

However, despite this I am still in, as I believe that this is short term issue.