moving very slowly, page-3

Just had a chat with Kim, the MD, and have been put in my place re: Westchester. I drew the wrong conclusions over the underwriting. A correct interpretation of the event is as follows:

Underwriters engaged to pick up residual shares at 3% fee.

Westchester engaged to ensure options are fully exercised at 4%.

Exercised shares distributed by Westchester to underwriters and 'other' investors, with Westchester picking up a net 1% fee (4-3).

The other investors included mostly existing shreholders in top 20 (mostly) and some other large holders perhaps in top 50.

So Westchester does not have 50 mil of shares. These have been redistributed to various parties who collectively represent the underwriters through Westchester.

I was wrong and happy to be so.

The MD was very amenable to a chat (1hr actually) and enjoyed this conversation as we discussed many aspects of CH including lack recent announcements. I expect an announcement out soon (exactly when I cannot say) to give an update on CH and progress. There should be some results in that update and some more information on Scoping study (which is currently being finalised).

All in all, the MD was very quick to state that he thinks CH is a goer, but is after all a low grade resource that will be 'tricky'. He believes he has the tools to unlock the main issues and is confident that mine payback will occur in early years as a consequence of richer deposit near surface.

I have to say that I am somewhat rejuvinated after this chat. There are of course many more questions to be asked, but certainly the main ones I put to him and he provided crediable answers.

I challenge anyone to ring and chat with Kim.