gold launched, page-11

The fundamentals of Carbine's ground are good

Crustal scale deformation zone (in fact a flexure), consisting of a lot of structures within it. Gold mineralisation over 100 plus km2, basically where there is outcrop (hills) it is mineralised, but most of the permits are under cover.

The recent drilling at Foufaka shows the extent of the mineralisation, which is large with some good intercepts from what is basically a shallow first pass test.

The question are

1. whether this all hangs together..or
2. within this mass of mineralisation there is a focus....that is where is the fire in the smoke...
3. and if there is fire how do they plan to find this quickly without going broke.

The advantage with AMX is the mineralisation is focused on a well defined set of structures which are mapped by magnetics, because one of the major controls is the juxtaposition of magnetic hard basalts against softer sediments/volcaniclastics....so you can map this phenomena remotely and quickly. They also have a very large lot of prospectors (artisinals...20-30,000) roaming the country side, who have the ability to find new mineralisation styles (say off structure), some of which will be of no interest themselves, but they allow for the bigger picture of the anatomy of a major mineralised system to emerge for zero cost. So this is a great result for AMX, and allows the Geos to have a lot more very relevant outcrop to work with and to build new ideas from.

So, apart from the fact there is obviously several styles of commercial gold already discovered over small parts of the major structures for AMX, there are a lot of factors which allow more discoveries to be made, quickly and cheaply. This combination of factors has allowed them to discover 1,000,000 JORC ounces per year, which is a hard to beat discovery rate....so in 10 years it would not surprise me if AMX had 7-10,000,000 ounces of gold. It would surprise me if they had less.

Hope these comments help.