takeover, page-8

The share price could be tanking for a number of reasons, such as:

1. LSE listing coming with a CR;
2. Not much progress on the underground mine at Syama, insiders selling?
3. Goldies generally are not responding to the higher gold price, with a few exceptions;
4. End of year tax loss selling
5. Esh's followers also selling down/out
6. CR coming even if no LSE listing
7. Some fall out from from a spate of underperformance at various junior Oz goldie producers and developers - ie CRB, BLK and KIN (older stories), GCY, SBM, DCN. MOY;
8. Expectations that the recent rise in the gold price will not be sustained and will go back under USD1300 soonish;
9. Some big holder/s want out.

The Moose needs to come out of his bunker and even if he is shell shocked how things are getting along at Syama let us know what the state of play is given that there should have been some progress over the two months since the last reporting period ended.

I have to say I did not like the heavy selling on Monday when the share price reached $1.197 on the back of an improved USD POG. It has been downhill every day.

Esh must have got the drift of the change in sentiment and exited what is a very troubled ramp up phase at Syama. I think he made the sensible decision and he needs to regroup (something I have done a number of times).

I suppose if this heads under 90 cents there will be carnage with the RSG share price, and we will see 50 cents again. I would not mind too much so long as it recovers in the fullness of time, as I have spare cash to buy more and substantially reduced my holding to 130k shares. But maybe, I will puke them out also - I never know when my gut has felt enough pain. We had a previous price collapse to the low 90s and I continued to hold despite being down over $100k because they had plenty of cash and I trusted the Moose. Currently the paper lose is smallish and well offset by gains from RMS among others.

Fortunately we still have some high grade oxide ore at Tabakoroni to process this quarter and provide a useful revenue stream. Not sure what happens when that runs out.

GLA, especially Esh.

loki (I suppose I am stupid for seeing the downside and not getting out of the building.)