Ann: Mestersvig Project Update, page-33

Hi,

Here is my two cents worth on today's "Mestersvig Project Update" announcement as well as they way forward from here.

Generally, I was quite happy with these "preliminary" results from Mestersvig. My take is that CNJ will end up having a significant lead/zinc/copper/silver resource there (nice to have!). Basically it is now very clear that the Mestersvig tenement is very large and very well mineralised, and thus highly prospective. I also believe that there may be other prospects within the Mestersvig tenement that are yet to be discovered.

As we know now, only 10 holes were drilled at Mestersvig (less than half of what was planned!). Having said this, even given the very low number of holes that were drilled, CNJ have still been able confirm that the Blyklippen vein strike/system extends for many many kilometers both north and south of the Blyklippen mine (Sortebjerg Vein). In addition, the Sortebjerg and Nuldal prospects now also look to be very prospective.

Just to be clear, I expect the upcoming assay results from the now completed Mestersvig drilling to be quite good and quite possibly to also contain some nice surprises. On this basis, and as I have already stated here from the outset here on this forum, the Mestersvig tenement is my short-priced favourite. I therefore expect CNJ to soon announce (in December?) that they will be entering into a JV in order to develop Mestersvig as a completely separate and "stand-alone" lead/zinc/copper/silver project, with CNJ essentially being "free-carry" from next year onwards (no further funding requirement from CNJ!).

This JV agreement should then allow CNJ to concentrate all of their human and capital resources on the MTJV, which is clearly where all the action is right now (as it has been since May this year!)

Moving along to where we are right now, over the next 6 months it will be all about the MTJV drilling and assay results i.e. these drilling and assay results will determine the fate of CNJ. In this regard, GLP's recent commment that the CNJ SP will be either 2 cents or 10 cents, is probably very accurate.

To be honest, the timing couldn't be better i.e. East Greenland is now off the table and the entire focus of CNJ, as well as that of investors, can now be on the current MTJV drilling and the subsequent assay resullts (from the Phase 1 and Phase 2 drilling programs) that will now flow in on an almost constant basis over the next 6 months.

In the very short term, I look forward to the MTJV001 assay results, which should be out this week or next (TH later this week?).

It goes without saying that excellent assay results from MTJV001 will definitely put the cat amongst the pigeons!

Wishing you all good fortune.