peak to acquire 100% interest in ngualla rare , page-67

Youve summed it up perfectly Chris, AH is a very clever guy and they decieded to take full control of Ngualla because it has great benefit to all shareholders to follow this path.

I phoned AH a little while back and athough no company directors like to be quoted( because we invariably stuff it up), Im sure he would not mind me sharing the jist of what we chatted about.

Firstly Zari is a group of 15/16 or so British Tanzanian investors. There are two main guys and a bunch of others with various bits. AH was not at all concerned with the threat of these guys selling, he thought a couple might sell a few but thought they would mostly hold. These are older British investors who have been or were in Tanzania for many years.

Not the types IMHO to be changing their investment holdings on a whim,(entirely my words and thoughts not Alistairs).

I congradulated AH on this aquisition and he said thanks. He was a bit surprised the market had missed the significance or the importance of having 100 percent control.

I didnt ask how we would get the cash for the six odd mill we must come up with, but I suppose at some point there will be a cap raise. Unless we sold an asset we didnt want, but as I said we did not discuss this at all.

We talked about the current drilling and how PEK really rather than taking the easy or safe path and doing infill drilling on the central zone had gone on and expanded the resource drilling into new ground. AH seemed very pleasantly surprised with the expansion and the grades we are achieving away from the centre. And the fact we are still open on so many fronts at Ngualla.It sounds like drilling had been going well and they are very pleased with the results released so far.

I asked about strategic parteners and it sounds like this is a possibility down the track. But for now AH is very happy to get 100% control of Ngualla and said they had been working for a long time for this to happen.

He sounded very upbeat and optimistic and was also very friendly. I was left feeling this is a company and a managment that know where they are going and its on a journey to somewhere very good!!

Cheers Tretch