Desperation?Opportunism/gambling? Well thought out strategy?...

Desperation?Opportunism/gambling? Well thought out strategy? This is some document,containing a lot of information. It took some time to dig out the interestinginformation around value for money, instead of just the financial details. Thefollowing is all in my opinion and is not intended as (investment) advice.

Iappreciate companies taking opportunistic actions in relation to an expectedrise of the gold price. However, in this case I can’t help but think they arenot convinced about Stuart Town and Macquarie and they jump at a chance to acquireother properties that have been changing hands a couple of times, to increasetheir odds. All their reasoning could be legit, time will tell. My confidencein potential success at the existing properties is reduced by their potentialacquisition of these new properties where I cannot find many real positives.

I am notconvinced by the historical resources as listed in the appendix and I thinkthat everything is fully depending on exploration upside. They place a lot ofemphasis on the historical production, imo somewhat ignoring that the currentresources, while very decent or even high grade, are very, very limited involume.

As far as Ican see that is the toss of a coin and even though they are ‘genuinely excited’,I find it hard to share their excitement at this point. My position will bereduced with approx. 25% considering the 0,41c stock price and the proposed0,30c relisting price. What the market will think of that is anybody’s guess. Ofcourse we are diluted in generic terms with this CR, with payment for all thiscircus and with our newly arriving SH’s from Centennial Mining. With this CRthere are no options attached or something (as far as I can see), so it just dilutionin return for additional properties and equipment that will or will not turnout to be worth the investment. Personally I think there are better investmentsaround with existing resources and exploration upside. Here, everything is moreor less exploration depending and for that, I think, the MC is pretty highalready.

Other investmentscan be expected in due course to get the mine (Maldon, Union Hill) from C&Mand get equipment updated.

One otherpoint: directors don’t buy in. They have enough, maybe, but it is not a strongsignal.

I wouldlike to hear other thoughts and opinions. As is stand I will not beparticipating and I think I will sell my existing shares mid-January, hopefullyon or around 0,30 cts. I was a holder in a company that required explorationresults but had a MC of approx.. 11M. I think that this was better that being aholder in a similar company, albeit with more properties, at a MC of 38M.

Above allIMO, DYOR. Cheers.