Ann: June 2015 Quarterly Activities Report and Appendix 5B, page-5

Methinks that is a bit misleading. For a start the establishment fee is for the whole loan facility spread across multiple years rather than an example of a similar cost for each year. The rights issue isn't necessarily over either, as the shortfall can be allocated at any time and may well be snapped up by an institutional investor if the SP rises in the next month or so. That would reduce the need for, and extent of any bridging loan or initial facility. Finally, operating costs for stage 1 are likely to slow significantly once the ramp-up to full production is complete and now the water treatment system is up and running, so remaining funds may well cover things until the income stream is fully established. We will see over the next few months. It will certainly help if VXL present results that partition the costs and revenues from Phase 1 from the ramp up to subsequent stages in their reporting.