update, page-144

Retrac and Q - thanks for the great discussion.

The new man on the Board, Paul M, has yet to make his presence felt and there is still the hope that he will bring his own experience as a geologist to bear and will work with Matt to design a programme that might lead to some recognised milestone or other being reached.

But, it does need to be good because I cannot see how further capital can be raised at a reasonable price unless they can deliver a good result and assure the market that the experience over the last 21 months will not be repeated.

I, too, am a bit concerned that about 25% of the capital raised last time has found its way into the pockets of the corporate manager or will have by 30 September. $9.82m was raised net of expenses. The Admin charges from the quarterly reports from 1/7/12 to 31/3/14 totalled$1.99m and $250k was estimated for the current quarter. Assume another $250k for the quarter to 30/9/14. Total admin charges: $2.49m. That is 25.4%. The cynical amongst us might say that is 25% subject to roundings. The more charitable might suggest that it is a strange coincidence. Either way, it is difficult to see what value the Company has gained from the $1m/yr admin charge. They certainly have not spent much on presentations or communication with shareholders and perhaps they might have afforded a rig that could actually drill had they not had to support the CM.

This might be one for the auditors to comment on.