Ann: Chairman's Letter to Shareholders , page-6

A great presentation by Ian Benning. I also had a good chat with Ian, and another fellow on many different topics.

Ian said we are going to be the biggest anthracite player in South Africa, by far, and that we will easily dominate the industry. If you look at the bar chart on page 6 of the latest presentation, the reason there's currently substantial exporting of anthracite from South Africa is that so much of current production doesn't meet the specs of the local ferro industries, so has to be exported. This is where Mbila can fill the void, with the high margin Ecca seam product well suited to the ferro chrome industry (?) (because of it's ash content being less than 10 percent, and ultra low phosphorous), and the Beaufort seam well suited to the ferro manganese industry (?) with it's sub-one percent sulphur content. (Ian scribbled some notes for me on my information booklet, so I hope if got the respective industry applications correct above).

We definitely sem to be in the right location, with the right products, at the right time.

Great catching up with Kooke and Chooky. I'll let them speak for themselves, but I think I can safely say we came away pretty positive.