Ann: Security Incident near Ancuabe in Cabo Delgado Province, page-29

Vidalia uses a small amount of the Balama output. Hence some of us suggesting that it stockpiles, so that if things unfortunately turn ugly then we are sorted for a period. You will notice on the map the incident happened a very long way away. We are not an under-resourced company, could hire our own security (local or foreign or a mix of both).

Considering we are the recipient of the recent US grant you can expect the US will have a vested interest in the raw material supply of the plant it has helped further fund is protected. The government of Mozambique would also I expect want this protected, the tax income on the operation would be a fairly significant single input component as well as a strong source of skilled local employment. No government wants their US linked supply chain asset threatened in any way - I expect both governments who considering this strategically significant would likely prevent any incursions into the surrounding area.

It would have to go very far, I expect, before Balama is considered an unsafe location of operation.