Ann: Quarterly Activities Report , page-3

"Future product shipments will speak for themselves in terms of the success of these recent improvements in the coming quarters."

Hope this holds true in future announcements!

Regarding your share price question... you have to understand that CNQ will need considerable funds (A$53,8M is the latest estimate) to realise its hard rock project. As our directors explained CNQ is in "fruitful discussions" with potential creditors/investors.

With CNQ's share price around 10c Mota-Engil was able to negotiate an equity investment at 12.5c per share. Had the share price been 20c at the time, Mota-Engil certainly would have had to pay more than 12.5c/share. The same applies to future investors. The lower the market price for CNQ stock, the stronger those investors' bargaining hand. I'm not asserting anything, just want you to show the "opposing interests" of the parties involved. Don't be surprised to see the share price at what you consider a depressed level until this burden is removed and the whole financing issue put behind us. I suspect we will have a hard time maintaining oure share in the company during this period, regardless of our directors' best intentions.

Hopefully future production announcements will support the share price to some extent.