Ann: Chairman Address to Annual General Meeting, page-16

I completely understand that people are entitled to their opinions... And good on the group of shareholders sharing those, and forcing an EGM (I don't fully agree, but none the less shows passion)... But the completely bias and one sided assertions going on on HC are getting silly...

Urquhart point is by no means a done deal and a certain money maker, in fact the the cash margin of Urquhart Point is only A$10-A$15/t and the cost to produce is around A$40-A$50 - so by no means is Urquhart point an absolute sealed and delivered deal... So these assertions that Melior are being saved by MLM's cash are just plain wrong. There is zero track record, there is zero proof that either mine will be profitable over either the short or long term, all we have to rely on are feasibility studies... 

So without any real substance behind any argument for either the for or against, it is my belief that we should get on with production from both assets... I have a small portion of my portfolio invested in MLM - and I will be quiet happy to see my money invested with 2 revenue generating mines... I also can see the merger and production being a catalyst to boost SP - which again i'm happy for, because we aren't about to get a return on our investment from dividends in the next 5yrs! Looking forward to the new year!

**Previous Post **

The merger actually increase EPS if you use the estimated forward NPV...
- MLR have NPV8 of USD$46 (~A$64M) -- Therefore 74% of NPV share
- MLM have NPV10 of A$22M -- Therefore 26% of NPV share