Ann: Quarterly Activities/Appendix 5B Cash Flow Report, page-52

If you buy a call option - you buy a right but not an obligation to purchase something at an agreed price at sometime in the future

you pay a premium to the seller of the property for that right but not obligation to purchase

if you exercise your call option- you are exercising your right sold to you to buy that property

if you exercise your option to purchase you are obligated to give notice usually and to pay the settlement funds on a due date at the agreed price and the seller is obligated to sell you the property at the agreed selling price and give you title

if the funds don’t transfer or there is a dispute like the seller doesn’t have it refuses to deliver then you have a dispute pursuant to the terms of the options agreement — until that is settled you don’t have legal title the property subject to the options agreement, sure you may have a legal claim to title but you don’t actually have it until it’s settled

just like exercising your call options late Wednesday night here in oz- it’s notified pre market on Thursday mornings and you pay your funds t2 and then your on the register- if the funds don’t flow for whatever reason the shares aren’t transferred u til the dispute is sorted generally ( sort of similar however there are sponsor brokers and clearing houses that get involved in squaring these issues away on behalf of vendors and purchasers)

we don’t know the basis of why the transaction did not settle, but it certainly didn’t settle as there is now a case before the icc- what we do now know is that dathnir did not transfer its shares in dathcom to Avz and that Avz lawyer is still after 2 years holding the settlement funds and a dispute has been before a drc tribunal and court and Avz is saying the dispute should only be arbitrarily decided before the icc

until icc rule Avz are claiming a legal right to 15 percent- the icc will arbitrate- until it does the shares are still held by Dathomir and the funds are clearly being held by Avz

if it competed then Avz lawyer wouldn’t be holding funds for the benefit of Dathomir for the co period of the dathomir spas as stated

Avz should answer why this settlement dispute was not immediately disclosed to the market as it a material asset that did not pass to them and was subject to a number of disputes and only last year was referred by Avz to the icc for arbitration as the shares in dathcom were not transferred

it clearly didn’t complete including payment otherwise they ( Avz) wouldn’t be going to the icc seeking enforcement of their right to acquire 15 percent of dathcom shares from Dathomir and wouldn’t have claimed the drc rulings were a nothing