Ann: Preliminary Half Year report, page-14

Conservative valuation of liquid assets

From NTL reports

Total Shares, Listed Options and Unlisted Options: 2,202,597,371
Current Assets (Cash Only): $6,460,024
Liabilities: $227,971
Liquidation Value: $6,232,053
Burn Rate: Planned expenditure this coming quarter of $556,650 with no expected revenues.  Surprisingly development costs ($200,000) less than corporate and administrative costs ($300,000).

Current Cash Backing less liabilities per share and outstanding options: 0.0028

I believe this is a much more realistic margin of safety than the 1 cent NTA released by the company but is being eroded daily.

Assumptions: All non current assets written down to zero until gold is poured.  Apart from Assets under construction ($7,554,266) they are almost zero anyway.

Questions:

1. If NTL carries Assets under construction at $7.5M and Cash at $6.5M on its books (Everything else doesn't move the dial) for a total of $14M... Does that mean in the eyes of the accountancy firm/ auditor that the company is currently fairly valued at a current market cap of 12.5M????

2. Will the new directors buy any NTL shares on market in the coming months????