Ann: Hawsons Institutional Placement, page-19

The original LDA announcement was described a $200M equity funding package and included comments like:

"HIO can access A4200m at its sole discretion"

"The cost-effective and flexible funding package affords HIO access to equity funds if required. This provide enhanced security and the ability to deal with, among other things, any potential unforeseen events during project development"

"Importantly, HIO has total control over the quantum and timing of any drawdowns under this four-year Agreement"

Despite the LDA deal being described as a $200M equity funding package with comments such as the above, for management not to use the LDA put options again I think is as close to an acknowledgement that we will get that the LDA deal was not good for HIO.

And $2M of the $5M just raised will go towards paying half of the $4M fee to LDA. LDA will also be issued another shares for the other $2M so I expect that they will get approx 20M shares around the 21st of December.

It will be interesting to see what happens if both LDA and Regal are trying to sell at the same time.