Ann: Corporate Update Presentation, page-32

RoyE

Agree 100% except in bold.

- nature of resource - one large, consistent open pit, good. A large number of small deposits (25 - 100k oz each) scattered around the place, not good. Also, if the resources are extensions of previous mine workings this can be not good depending on the scenario

Advantages of extensions of a previous mine are:
- generally known grade reconciliation - blast hole drill data to reconcile against block model.
- generally known metallurgical performance on ore treated.

Essentially lower risk, unless previous operator treated only oxide ore, and left transition/primary material behind, then agree with RoyE