Ann: Investor Presentation, page-4

We have some issues to resolve with the resource.  I suspect we'll have trouble if we try to move forward with mine development without resolving the issues first:

1. Current resource is only 15% indicated.  That means 85% inferred.  With a patchy, veined resource that represents a lot of uncertainty.
2. Resource is only defined to 90m depth.  What we do at the surface is going to be strongly affected by the grade and shape of what's beneath.
3. Looking at the outline of the maiden resource you can see that it's a "gerrymander".  We've got this odd-shaped central bit with a couple of disconnected blobs.  It's pretty clear we wanted to release an initial 1Moz resource and looped in whatever bits and pieces we needed to get it over the line.  It's not a terrible thing, but I think we need something better for a mine.
4. Having some significant-looking finds outside the defined resource will help us justify the necessary capital investment in a mine and negotiate a better deal with a JV partner.
5. The drill-for-equity deal with Ausdrill is dilution by a thousand drips, but I believe that it's less costly for we shareholders than a series of placements or capital raisings.  And it has a positive effect on cash burn, allowing us to allocate more money to analysis and assays.

It's frustrating, but I think we're doing the right thing.