Ann: PERU DRILL PERMIT UPDATE, page-88

"Basically failure is the rule of success in exploration. Geophysics helps shift the odds but they remain large, especially for porphyry hunting whose mineralised halos can extend for kilometres... It’s entirely feasible to me that we could prove there’s a porphyry that sits outside our ground."

You're a hard marker seals but you need to be when it comes to investing your hard earned cash.

Like you, Ross has previously said that failure is the norm the more you explore the land. However, in the case of Riqueza, it is not the norm; Ross has said "every tool thrown at it suggests something is there". This is years worth of scientific best practice investigation which surely has to count for something. Indeed, s32 thought so and committed USD$10million to explore it further.... now we own 100% it AND the all the other T1 projects in Oz.

In re to Cu at Riqueza, yes, a porphyry could sit outside our ground as we have big neighbours all around us... however, you have to praise our team as they are usually first movers BEFORE any geophys is flown which in my mind is truly impressive.

Check out the action around the latest patch of land we're fighting for against Anglo American atm (white box)... the Au-Cu belt is "book-ended" by BHP and Anglo and we have the transfer zone inbetween. Hmmm...



Note, straight Gold to Cu/Ag/Au discoveries are 20:1 each year according to Billionaire Pierre Lassonde, ex-Newmont President and co-founder of Franco-Nevada. He says:

"As far as I’m concerned, the best, best deposit in the world that you can have or find today is a copper-gold deposit or a copper-gold-silver, or a copper-silver deposit, but something with copper. Because I really believe that copper is the metal of the future."

Interestingly, this is the team's favourite deposits too. Inca's mission is simple: go to elephant country and be first mover before the others descend. Then rerate and derisk the project thru drill results.

You have to admit the strategy is certainly working so far... read direct hit of Cu in East Tennant drill hole 4.

I'm pleased you're on the same side as this promises to be some ride going forward... win, lose or draw!

Poet