Ann: Annual Report to shareholders, page-2

A couple of good take-aways from the report:

"The Montague System provides excellent opportunity to develop and discover a multi-million
ounce gold discovery, and is a type of system known to host world class deposits. In-situ
mineralisation identified to date generally remains open for extension, and Gateway can
expect to make significant new discoveries and efficiently increase mineralised inventories. It
is expected that perusing this strategy will provide a substantial base for the company which
it can use for future shareholder value creation".
It is apparent that his has been a value adding process for optimising a return to the Company by divestment (subject to shareholders approval). What form such divestment takes is yet to be disclosed/negotiated one would assume.
Coking coal
"The Projects comprise a very large, near-surface coal deposit, which Gateway will look to
develop over the coming periods. The acquisition of QCIH will be the culmination of
approximately seven months’ negotiation. The Board believes this transaction represents
exceptional value for shareholders, with outstanding upside as the Projects progress towards
production in the coming 18 months.
Both licences will represent exposure to a commodity – hard coking coal – which the Board
sees as having very strong medium-long term market dynamics. QCIH is considerably
advanced on all aspects of infrastructure access arrangements. Subject to securing
appropriate terms on available infrastructure, these Projects represent the opportunity for
near-term cash flow, which would provide value-enhancement for shareholders.
The Projects are proximal to substantial existing operations, as demonstrated by Figure 1,
below, including a railway traversing the tenement holding.
The Projects offer a number of considerable advantages:
- Readily accessible first coal for production
- Mineral Development Licence granted
- Mining methodology confirmed by test pits
- Premium Hard Coking Coal product confirmed by extensive washplant testwork
Additionally, substantial work relating to analysis of the coal resource, feasibility studies,
environmental permitting and coal quality have been conducted over the previous five years
under prior ownership. QCIH is in a position to leverage off the previous work to rapidly
progress the Projects through permitting and towards production"

Subject to shareholder approval (and the raising of the necessary capital) it appears that this acquisition of these highly valued tenements will proceed soon.
An EGM is mooted very soon to seek approval for the acquisition etc and all being well, the Baker Steel commitment will be ratified and the balance of required funding facilitated soon thereafter if not contemporaneously late this year?