Ann: Drilling Update-DKO.AX, page-114

If anyone has followed the fundamentals of DKO earlier on. This drilling update is very positive. Management have been tight lipped and the announcement does not give much away unless you try to link the cryptic wording to what DKO are trying to achieve. Prove a maiden inferred resource.

Here's my analysis on the specific wording of the announcement:

First batch of assays due next week indicates consistent news flow of multiple assay results in the weeks to come, leading me to think that they have have struck multiple lithium hits in each drill hole. So further assays we await. This also leads me to think that there is a sizable Lithium potential.

The less inclined nature of the pegmatite indicates that the length of the drills are longer as compared to more inclined pegmatites. So the results will be excellent lengths, grades unknown? and less drill holes with each drill hole to be deeper than anticipated, to accomplish 2000m.

Here's the key: As management are targeting an inferred resource this quarter from the maiden drilling program, stopping at 2000m indicates that they have enough confidence to produce a maiden inferred resource. Other wise they could have continued to drill the full 3000m. Management have realised that they have reached their milestone early with 2000m.

Thats the key, I believe they have struck something significant in size. There should be excellent lenghts and grades to come. Why stop at 2000m if you are trying to achieve an inferred resource??