where to now, page-2

Might help to answer some questions Kempy cheers GB :)$$$$$$$$$

Further to my telephone call with you on Saturday:


1. Regarding the JV with a major on the oil tenements I personally feel that news of a JV has been released to the market for a fair period of time and needs to be firmed up for the company to progress at this time. The market and myself as a major need to be reassured of the direction we are heading. Any info from management is good info ATM. Do we expect an update re JV before the end of Nov?


The HOA relevant to the JV (in draft) has been announced - we will most likely release more details prior to AGM. Remember - the HOA is about the framework of the deal.

2. Will the JV be isolated soley to the Kryst operation or will there be scope for further medium and long-term partnerships?
Not necessarily, they are keen to work with us in other areas

3. Of the oil tenements MHL hold # 1 potential in managements eyes is?
The northern KG license called - Tyup.

4. What is MHL's future direction regarding new exploration in oil? Is it going to be solely based in Asia or as we know of management knowledge of Africa is that to be a focus in the future? I know this is a hard question to answer but what is your gut feel as an oiler on the top zones?
No need to over complicate issues we are keen on Asia (well known oil province and I have worked and lived there for over a decade) and presents near(er) term production opportunities. Also looking at SU and America - an emerging oil province (not Venezuela)

5. Have options been discussed within the Cap raising future?
Probably when MCap and share price reach 3 - 4 times present value

6. Am I correct in interpreting that the Joint Venture will provide cash thus diluting the need for further capital raisings?
Full funding, explorations and operations with free carry to production is cash in my mind

7. With Oil hitting close to $100 US how many JV partner's have shown an interest in MHL,s oil tenaments ?
Not sure what you mean here - I can only handle one JV partner at a time - did we present to others?. Of course but there are few companies who want frontier lands and after our JV expresswed interest I stopped shopping.

8. Of our U308 tenements have any of them been mined by a previous regime or how close is the nearest known active (mine) U308 zone in distance?
Yes - about 1 KM east are three mines (not finished) but abandoned by Russians when they found uranium in Kazakhstan near their nuclear research facilities - no need to transport etc. Russians are pragmatists - not speculators, they wanted U308 ore for nuclear work, not share price rises.

9. What has held up drilling on U308, the company have stated they are drilling soon for the last 3 months & no updates. Has drilling started? Do they have targets?
I suppose if I were to put a point on it - I would say they didn't want to "float" Leopard in a bear market (US sub prime and low Uranium price), and replacing geologists with experience is proving hard. Drills, site, work program is ready to go



Hope this helps Kempy




Regards