Ann: PNG Project Sale, page-74

Sorry UFX for the misinterpretation however $15 per oz is not alright in my opinion. Lole will be mining there anyway so the location does not become a part of the equation. The going price of gold in the ground is closer to $75 per oz with the skyrocketing price of gold meaning they should have got the $10M I mentioned previously. Lole has limited gold as it was running out in the mine so they need new ground. Rio found nothing in the South West and from what I remember there is nothing in the North West which means they need our lease to make their project viable. Although I'm sure the vote will go through I will be voting no. I'd rather see the drill program go ahead in T2 and the anomaly drilled than to just though it away. We have the backing of the villagers, we have another 2 years on the lease, we have locals working on-site and we have done nothing to upset the MRA so we have no reasons to be worried. I'm fully aware of the dangers in PNG.

GD