Ann: Exploration Update for Collurabbie Project , page-4

re: Ann: Exploration Update for Collurabbie P... Hi Vesp,

I wouldn't be surprised if Anglo walked away from Saxby after those last drill results. They didn't sound very encouraging. The grades are not worth digging a tunnel down 700m to get it out. Just not viable for a major.There is plenty of work to do (and money) to get this to JORC. imho.

In 7 years at Collurabbie, Falcon hasn't found a single drill hole to match the above average 5.77m at 3% Nickel. All they seem to get is very minor grades which would prove uneconomical to extract.They would need consistently find above 2% grades over 10m intersections to warrant my interest again.

The Falcon board doesn't seem to have a real commitment to doing any serious drilling in this area. Drilling 6 holes every 4 months is not good enough. After every announcement , they come out and say they have some exciting areas to search NEXT time.Then come out a say 1m at 0.39% was a good result.

100m at 0.39% is good and 1m at 10% is good but 1m at 0.39% is not. It is uneconomic.

The risk /reward is not there at the current sp. At about 7c it may be worth a punt once again.

It also sounds like not much will be happening for a while on the exploration front so there are better options to take.I also see plenty of dilution coming to current holders.It is a very expensive game, this looking for minerals.Be prepared for a very long haul.

imho.dyor