production estimates, page-18

BJ,

Thank you.

I like the mineralisation AAM is onto for a number of reasons. I'll list them but not in any particular order.

Deposits are shear hosted and I mean substantial shears extending over many kilometres. This means we are dealing with gashes deep into the Earth that have allowed passage of literally cubic kilometres of mineralising fluid. Means lots of gold has passed by and there is an excellent chance some of has stayed around. Look at the map of AAM tenements and see linearity in both exploration areas and discoveries. You will see a couple of sets of large scale lines. I expect they follow shears. Certainly the individual deposits are strongly linear. New surface discovery at Beta lines up with the rest of the deposit. The very large delta discovery is some 4 km long

Secondly there are structures within the shear zones that show "dilation". For the benefit of anyone who doesn't know what dilation is it means "getting bigger", making space to soak up the mineralising fluids so some of that gold can deposit.

Thirdly the weathering is very deep. 70m or more and this makes easier metallurgy. BJ you mentioned sulphides which can be a problem. Well above 70m they are oxidized making the gold much easier to extract. Actually most of WA is deeply weathered so plenty of other goldies share this advantage.

Next gold appears to have mineralised in a variety of positions relative to different rock types. Means more locations, means more gold.

Grades are high so the company is not chasing too much dirt for not much gold. Cutoffs are between 0.5 and 1g/t while much of the ore is around 4g/t or better. I like to see a bit of "fat" in the system.

Systems are open at depth and usually along strike as well. Means we have a reasonable expectation of increasing resources at each of the deposits. Taking Delta as an example, it already has a 750,000 oz resource. Expect it alone to get to a million oz before it's done. That would make it a top tier gold miner target. I doubt they would be interested but Delta could already be worth more than $50M flogged off to one of the biggies.

Whatever misgivings I may have about AAM management and let's face it, who's perfect, they do the geology efficiently and thoroughly. They might be light on communication in other areas but no complaints from me with the Geology they publish. I went looking for the ore variability for the Beta pit and there it was, colour coded, metre by metre assays drill hole by drill hole. Most punters would have seen a mess of numbers but AAM actually publish real data. That means a nerdy old dude like myself can actually check what they have.

AAM already has lots of gold in the ground and much more to come.

A few weeks and they will be pouring it into dore bars.