fwl - update

I spoke with Brett Manning (FWLl Managing Director) yesterday afternoon for a general update. Here it is:

1. FWL is talking to a "big group" regarding the "off take AND INVESTMENT agreement". It was hoped that the off take and investment agreement would be in place and agreed by Christmas but this will now likely be agreed in January. The investment "will largely fund what we need to do over the next few years" (i.e. drilling and proving up the resource). My hunch is that this offtake/investment be with another Chinese group which could make Sin-Tang's position as current largest shareholder interesting in 2011.

2. The sell down announced by Comet Resources in its Form 605 this week was actually good news for FWL. Comet has been selling down for a while and had not shown much interest in FWL anyway so were probably just clearing their books.

3. The company was "proceeding positively" and had a board meeting yesterday to plan for Q1 and Q2 of 2011 (probably also in terms of utilising the $1.5 million received from Sin Tang and the forthcoming investment from the soon to be announced new major shareholder).

4. Brett will issue a general update to the ASX today.