Ann: Quarterly Cashflow Report , page-8

Bazz

My advice is not to panic. The budget for the current 1/4 allows for a surplus of about $700,000.00 in Jan. Now think about it - why budget for about $3m in expenditure with that being the cash result in jan unless you knew there was help at hand?

The company must know that either the New Holland money will be through in full by 1/1 or that there will be an advance made on the loan. That's the logic of the situation. However, I do have have a hunch (to use Mega's term of phrase) that all will be well. We are aware that the mine plan has been changed (since purchase)and so there is a strong likelihood that the WA Gov't will want to re-tick that big box. Now, I am not a banker, but I am confident in saying that New Holland will want the new mine plan given the OK before letting go of the money. That makes commercial sense. What doesn't make sense is that the co is not keeping us informed. People sell because of that.

What is interesting is to compare the top 20 list.I have a list as at June and i have compared it with the list in the AR (9/10). All the stalwarts (Miles Kennedy, John Hutton, Peter Newton,Ross Taylor and so on) have the same number of shares - and that's good. There have been some changes though - HSBC Custody Noms down from 12.4m to 8.84m and Sun Hung Kai Inv Svcs up from a neat 5m to a neat 12m - don't know what to make of that. Also, a Sydney-based company has increased its holding by 24%, and that is hopefully a vg sign.

Overall though, I have to say that I am very disappointed in things - and that could be an understatement!!