Ann: 204 Carat Diamond Recovered at Mothae Mine, page-43

Well in the scoping study for Merlin they said that NPV is AUD343m not AUD1B. Additionally if I see it correctly the mine was already run from 2000-2003 and also for a short time under a new owner around 2006. So mining was started twice and failed twice. And Merlin does not fit into the strategy of being a high end diamond producer.

And in terms of dilution you can roughly say that for the acquisition and development of Mothae we all paid with half of the Lulo mine. And for Merlin we then paid with 20-25% of our ownership of Lulo and Mothae.

Taking into consideration that Lulo will be the only potential Tier1 mine in our portfolio, I don't think it was benefitial for us to spend more than half of this potential Tier1 mine to buy two Tier2 or maybe even Tier3 deposits.

Well as mentioned earlier I was initially very much in favor of buying Mothae but did not expect that it will cost us such a high share of Lulo. With Merlin I see the same approach a second time.