trading halt, page-69

Hi Amulet (and all),

Think we better prepare ourselves for a suspension tomorrow.

If we take everything that has been announced and the information flow from management at face value, then I think we can fairly assume that the small $500K loan went through as per app.3B (1 Nov).

I think we can also assume that the Gres funding is still in place and waiting for the pre-condition of $1.5 mil net cash. If this changed it would need to be announced and in any case we haven't yet been in a position to ask for this money so Gres hasn't yet been in a position to say no!

So that leaves the Euro loan. Given that a number of us had communication with Wal and Mark late last week and their expectation was to have that money available by start of this week then obviously something changed (fell apart?) at the last minute.

The trading halt announcement says "regarding a capital raising". So my guess is they are going to try and get that $1.5mil from somewhere. The Gres facility has always been the prize, the rest was just noise. But given the apparent last minute failure of the Euro loan I don't think they will have had time by tomorrow to find an alternate source of funding. I would love to be wrong as I hate suspensions but....

The Silver Lining will be if they can manage to find the $1.5mil in short order on reasonable terms (maybe an increase in size from the US lenders or an Insto placement at .5/.6 of a cent) then we have bucks, we fulfil the pre condition and we finally get the GRES loan which is and always was the only one that mattered.

Sure has been frustrating and maybe even ridiculous. But as mentioned by various posters they have tried to look after shareholders by financing rather than cap raising. Let's hope the boys can pull this off else it aint gunna be pretty.