Ann: Market Update, page-7

Hi Brynndustries

Yep .... no doubt about it, it is definitely positive.

However, if you look back to an SOC announcement dated 9th October 2013 you will see that SOC entered into a similar deal with AceA ...a crowd from Singapore. On that occasion SOC got better terms and only sold 17.24% for $2M [with further funds coming from an options agreement].

It was very pleasing that SOC regained almost 100% of Mt Adrah when AceA saw greener pastures elsewhere. But now, again, management have seen fit to enter into a similar deal except this time they have sold off 50%. It is unwarranted haste. On the one hand SOC considers Mt Adrah very prospective but then, on the other, they exhibit diminished confidence in their prime asset when they do something like this.

Yes... it will significantly speed up the discovery process and that is good. But if Mt Adrah turns out to be as good as the potential suggests then we have given it away too cheaply... again.

The last time, the $2M was not wisely utilized. On this occasion there has been a lot more planning done ... so at least we will see this company start moving pretty quickly from now on.

It is just that I am very confident about SOC's prospects and so I have plenty of patience to extract the full value.