Ann: Contract Default Notice Issued To Varm Cosmo, page-81

Now Mr Learner. I'm pretty sure that I never verbally abused you in the past so I can at least try and off-set some of your arguments without either of us getting upset

Firstly, no business entity would contract with another business entity if they knew the deal that was struck would never realise a profitable result. It was never a SCAM or a dodgy deal. It was a legitimate contractual arrangement and I suspect there was good will and intentions on both sides. Ultimately, it failed.

Was it handled badly - you bet it was. Were there any errors of judgement - you bet there was. Was the inability of VC to hold up its end of the bargain allowed to go on for too long - yes it was. Did this last item along with the failure of MXC to keep its own shareholders up to date combine to put undue pressure on the SP (basically our investment) - it most certainly did.

OK, a deal gone south because of a bit ineptness on both sides - NOT because of any corrupt or illegal activities. Nothing for ASIC to investigate in fact.

We have a failed deal that MXC is now taking steps to extricate the company out of - with a $500k contract penalty (not compensation but a penalty) and perhaps getting a portion of the $8mil it should have received. If it gets half of that in a fairly short time frame then it will facilitate the Malta operations and we should be happy.

The announcement which a lot of people took umbrage at is in fact an acknowledgement that MXC wants out finally and this will mean that MXC will get this particularly feral monkey of its back for good. Then we can all back to knocking something else - we will find something for sure.