Ann: Results of Annual General Meeting , page-34

Let's give it a go and see if anything useful comes of it.

The loan provider IS OKAP.

My take is, firstly it removes the immediate threat of administration. That is, OKAP will extend the deadline.

It doesn't remove the sp pressure which is more a combination of total debt of $3.5mil (ie $2mil in the annual and $1.5mil post report).

The main thing being dilution from Celtic that could happen any time. The delays from Noble which has stretched the cash and increased risks. The total interest payable on all loans if extended. Most the loans are 10%-12%.

If they want to stop the declining sp in a declining Mn area, then they need to extend the debt with OKAP and announce it to keep Santoo happy.

Then they need to convert Celtic note. Market has factored it in anyway because their is no other option. But it's a death spiral. The lower the sp the more shares it converts to. Sp falls furthe in anticipation. Endless loop. Just convert and lock in the current sp while you still can.

We probably dont have enough money to see us through to Noble. Decision on Noble is end of January if no further delays. Then vote. Then cash. It's too long.

And if they walk? We've lost all credibility and bargaining power in securing funds.

So I'd convert Celtic and look for a similar note again for about $1mil. Releive pressure for Noble deal. Buy time.

Ideally a rights issue would benefit everyone. But the last one was poorly received, with massive shortfall. Not worth the effort. So con note it is.