Ann: Treasure Island Exploration Update , page-2

Trying to put this latest update into perspective with what has been going at Lake Cowan over the last 12 to 18 months as it appears that there has been a shift in priorities for diamond drilling.

The original plot for this round of diamond drilling was that it would primarily concentrated on doing in fill drilling on Treasure Island and its immediate surrounds to follow up on previous diamond drilling reconnaissance results achieved in the September quarter 2011.

What is now happening with the rig is that it is now about to be used for reconnaissance diamond drilling on the prospective Eastern structure (3km to the East of Treasure Island) revealed by aircore drilling on the Lake.

To my mind the big question is why switch diamond drilling from the known (Treasure Island deposits) to the unknown (potential Eastern structure), when a few good diamond drill results from Treasure Island would be a boost to FML’s fortunes.

Obviously our two senior geologists Dean G and Phung N have been the major influence in this switch in priorities, or to put it into a nutshell, the bloodhounds are onto something.

Also need to bear in mind that the aircore results to date are in the main better than those achieved at the same exploration stage of the St Ives deposit, and there is now a lot more talk of how structures are now starting to resemble St Ives.

Still a long way to go, and doubt whether the market has any real appreciation of the potential of Lake Cowan.

Hoping that CW might have picked up a few more vibes about these latest results during his tour last week.