Ann: Washington DC based key Senior Advisor engaged by Mandrake, page-15

Re: dilution of shares.

When MAN commenced drilling Newleyine, we had 379m shares issued.



Fast forward two years later (and a few holes drilled in WA and NT), we are at 598m.

So our shareprice is going backward while our dilution increases. Double whammy. It wouldn't be an issue if the shareprice was increasing (adding share holder value). That isn't the case.

If history continues, it won't be long before we will have 1B shares issued. Just think, every time the number of issued shares increases, the portion of our ownership decreases. Not an issue when a company is moving forward and advancing projects.