ADN CHART, page-5613

OK, so let’s extrapolate and expand on what I said.

Firstly, I didn’t say the pilot plant couldn’t produce samples I said the plant didn’t comply with any Australian standards or safety regulations. So it was able to produce samples just not safely, putting staff safety at risk. Something the COO should have been on top of but clearly wasn’t. Hence my comments about him following JM, its shutdown upon Bobs arrival and subsequent restart after approximate modifications had been carried out.

Secondly, I didn’t criticise JMs kaolin expertise. I liked him, he was a very personable guy, but he was taking us down a road where he would sign up any company and sell them any product we could produce, high value or not just for the sake of signing another BOA. Not to mention I believe his kaolin expertise lent towards the paper and coatings industry, but I’m sure someone here will correct me if I’m wrong.

Thirdly, I never mentioned the quality, quantity or grade of our world class kaolin deposits which they clearly are.

In closing I would like to add, everyone needs to take a deep breath and realise that mining or quarry projects take time and sometimes more time than shareholders would like. There are a lot of boxes to tick with some going smoothly and some not, but with the focus and direction Bob has given us I’m confident we will get there in the end.

Regards,

gjn