hawsons is the superior project, page-22

CAP does have a great team, BUT it is hard (after GFC) to get CAPEX from Chinese steel mill. Look at deals done by FWL & PDY (shareholders got robbed). With China's inflation up higher than expected & increased bank's lending criteria, it would be hard to get loan.

Furthermore, BHP, RIO, FMG, Vale & many African countries are increasing iron ore production. Iron ore price expected to come down sharply. $OZ is very high too. Mining tax, state increase royalties (in WA & may be in other states also), Carbon tax.

It would be hard to get $2.8B (plus 30-50% cost over-run) to fund the project. The board will have to work extremely hard.

Furthermore, we have sovereign debt crisis coming soon. However, if CAP's assets are great, big players like BHP, Vale & Xstrata might be interested (take-over or JV) that would be excellent (finger-crossed).