capital raising, page-28

With the GFC banks want you to put more of your own money down before they lend. Fair enough they have to protect themselves, but the fact they will lend to us is still a huge endorsement of the company.

In saying that, how strong is this project looking?

CQT now has a much bigger broker on board in Southern Cross, helping them raise this money now. They will also be instrumental in new nvestors being marketed too and kept informed of the CQT story in the future. They have access to a lot of overseas investors as well.

The CQT story is now ready to be told and I don't expect the price to be hovering in the 60-70 cents area for to long after the placement.

As far as dilution goes, it should not be a concern unless you get $40mill and burn it stupidly. If the $40mill plus goes towards building plant and infastructure that will generate many millions $ more in the first two years, plus help expand the resource, then dilution will not be a problem.

In fact it looks like we will end up with about 340mill shares with an initial cash reserves of $60mill. and a NPV project of $300mill. We will still be worth over a $1 as a min, without any new resource added.