avm has gone quiet, page-6

re: avm is moving on. I've had a look at the activities report.

The only negative in it remains the continuing of the overburden issue, now pushed back to end of April before high grade ore is accessable. This issue, although drawing to a close was obviously far worse than we'd been led to believe. Now they are implementing strategies to accumulate a 3 month stockpile to maintain throughput indicates they have learned there lesson. I can't be too harsh however as flying by the seat of one's pants comes with a greater risk exposure and it's what opened up the opportunities in the first place.

The remainder looks good, 6 drilling rigs, one of which has started. Dikilushi output due to increase by 22% by June 05 and a second mine by the end of the year.

Certainly worth hanging around for another 6 months, increasing the resource base through drilling is really going to go a long way to rerating AVM.

Financially the quarter won't be stellar but we made money, perhaps around the million mark.