Ann: CXO: Strategic Inv.in Charger Metals and the Bynoe Project, page-14

In my opinion this is a wise move by CXO.

It's pouring on the pressure for CHR to either stump up $500K within 60 days which they probably don't want to do, or get real and accept CXO's original offer.

The Bynoe project is worth zero without CXO's involvement.

I don't think CHR are in any position to build a $100m - $200M mine just for their small deposit - which is already close to CXO infrastructure.

They either do a deal with CXO to extract some value for it now, or they can sit on it for 5-10 years waiting for the Lithium market to recover.

Either way CXO don't really need it, but it makes some sense for CHR to offload it as it's a win / win for both companies.

I hold CXO and not CHR and I think CXO management have been pretty switched on with this move and I predict CHR will do the deal in coming months.

If the deal is not done and there is no chance of it happening in the near term, CHR likely falls back to 5 or 6 cents - the level it was at prior to the CXO bid - another reason why I think CHR will do the deal, as the SP is being propped up at the moment by the possibility of a deal.