Ann: Corporate Update, page-13

Interestingly 16m or so in trade credit are still open. This might be missed royalty payments to Guyana. Read somewhere a complaint Troy had only paid $85000 in royalties or so which sounds absurd but actually might be true.

The options for the mill are
a) 3rd party buys TRGI, having no tenements only toll milling or trucking ore if feasible will be possible
b) 3rd party buys TRGI and sells/relocates the mill
c) Troy buys TRGI: also only toll milling or selling the plant will be possible due to mineral agreement being void
d) Troy buys TRGI after prior agreement with the Government of Guyana to appoint administrator for TRGI, new mineral agreement will be made

But who fill finance scenario d? Impossible I think.

The Brazil agreement, I got the royalty there wrong, it only applies to gold and could be bought for 3m, but for the rest troy will receive US$3.5m ,1.5m out of that only if producing, and then either a final 0.5m plus the buyer taking care of additional US$2.3m in tax liabilities or he can walk and Troy has to pay the tax. Seems to me either 1.2m or 4m with 4m more likely net of taxes. Currently only 0.2m had been used in projections.

The big question is: What is the cash position of Troy Res. Limited? Projections after the financing with the $2m min. additional recapitalization showed ca. 10m A$ and additional US$4m or A$6m would bring this to 16m. On the minus side 18 months of care and maintenance plus costs of the jungle clinic for the AmerIndians. so cash could be anywhere between close to 0 or a couple millions.

In retrospect it would have been wise to appoint the administrator for TRGI just before the AIMS loan, same outcome but 1/3 the share issue.

There must be loads of tax losses / deferred tax assets, A$13-60m maybe more.

Most likely scenario here is a reverse takeover for a company that can make use of those tax assets. At least this would give shareholders the chance to sell and realize tax losses for themselves.