Ann: Results of Annual General Meeting , page-43

Thanks simonhhh for that great post summarising the AGM.! Taking the time to do it for the benefit of all here! Am still trying to digest the comments reported by everyone who attended..... and to see what the implications are.

1. With the sudden speed up in lab turnaround, perhaps the recent decision to scale back drilling in order not to stockpile core that could not be assayed might be reviewed? Then again the wet season is coming and moving rigs around might be more difficult. The slowing was also done to conserve capital... but maybe the purse-strings could be loosened a bit now? anyway....

One could believe that the next AN drilling will be attacking the AN hotspots. These should be classed as priority cores... that is, hopefully lots of visible massive-type sulphide, located via the VTEM. Thus the results may emerge more promptly.

2. At present drill-rates, there is another 12 months of drilling left in the current funded program. As I recall there was a suggestion of another 50km envisaged, taking the total to 100km. The timing of this might be convergent on wanting to commence equipment procurement ...(say Aug 2012, in order to mine straight after the wet season April 2013.)

This is also coincident with the next Vale progress-payment. Hence I suggest that Avanco will be looking to have some mutually beneficial Final deal done with Vale that provides Avanco with the Urgent Capital it will need in August 2012 in order to progress and grow. I cannot see AVB going into effective hibernation for 12months to August 2013 waiting for some deal to get funds. That would put mining-start back to 2014!!! a less than scintillating event.

The trial mining licence may also place some obligation on Avanco to start up, not just sit.

3. In addition to highlighting the new hotspots at AN, the VTEM should have given an indication about depth of any possible deposit.

4. The fact that nothing is happening at any of the other AVB prospects at the moment I find is unsettling. AVB has a certain obligation to do things with the prospects that it has commited to. Headlines like Threefold Increase To Rio Verde are great stuff but need to be backed up with an active program, not put on hold. Then others are likely to see AVB as a keen and genuine small player, and be more willing to cede tenements and do JV's.

Anyway... I believe that in reality, almost everything revolves around the Vale Agreement!!!! Incredibly important to wrap it up.

The big $cash from that allows LOTS of things to happen.

Without it, cash constraints may slow AVB down later next year, to just a trickle of drill results.

However.... With a deal done and cash in hand, many doors will open! Time for Tony Polglase to pull another rabbit out of a hat and get it finalised. Then with a big JORC, cash, wise management and continuing exploration success, ANYTHING is possible... the sky is the limit in the Carajas.