Ann: Bonanza Gold Intersections from New Zone at Marymia, page-35

I think a bit of both IMO. While activities have accelerated recently I always have to question managements intentions when the project is in WA and the head office is in downtown Sydney. Indicates shareholder money is getting funneled into unnecessary overheads.

It looks like the new MD has the right credentials, local mining experience, given the status of the project his remuneration is excessive on the cash side given the stage of the project. Just my opinion, and it comes back to managing the overheads, while there are performance incentives built in it appears he has stipulated he wants his cash up front and the board has allowed it.

Resource wise, look it's a very complex area from a geological point of view. A good point to note is the absolute size and scale of Plutonic, yet how difficult it is to mine - this is the template for all deposits in the area, and complexity is reflected in all the pretty pictures VAN has so expect the same challenges if VAN get to mining. I look at the met recoveries and it appears there is also a metallurgical recovery issue in some parts of the deposit, recoveries in the 80's rather than the 90's - that is going to have a huge impact when your grades are in the 3-4gpt range. That is essentually a companies margin.

.... and the MC . . as I said previously it is an obvious outlier compared to peers. I'll use one example, HRN. Assets in the heart of the goldfields, surrounded by mills and infrastructure, proven board and management in developing and mining, a MC of $16M. Sure, they have been beaten up recently but so have all gold juniors . . . except VAN. What is really propping up the shareprice? It is not market sentiment, these guys are not competent operators, the ground is as challenging as all hell . . . yet the MC is nearly 10x HRN. Which is about the same MC as little micro producer which runs on the smell of an oily rag BCN.

Outliers are good to study because they generally hide a very obtuse reason for their performance or lack there of. Mate, you do your own research and come to your own conclusions, curious to hear what others think.