basic comparison between mgy and syr - mgy 60c, page-8

Hi Transit

I generally agree with your views but add the following:

SYR has 9 projects in the following four countries:

Botswana - 3
Zambia - 6
Tanzania - 6
Mozambique -6

The numbers are the country risk ratings as at 30 Mar 12, see:
http://www.oecd.org/dataoecd/47/29/49487829.pdf

while MGY has 4 projects all in Madagascar -7.

I am further influenced by the inclusion of the following paragragh included in MGY announcements ie last QR:

Political Situation: The current political situation is unchanged in Madagascar, with international mediation continuing to assist in the negotiation of an orderly resolution, with the aim of achieving free elections and the establishment of normalized relations with the international community and donor countries. As previously advised, the current situation in Madagascar has the potential to result in difficulties in obtaining effective legal redress. Meanwhile, continuing delays are being encountered in the processing of tenement applications and renewals. If the political situation does not improve there is a risk that the Company may not be able to secure the grant or renewal of tenements in a timely manner, or on satisfactory terms.

I should also add that I worked for over 6 years in Africa on mining projects and fully understand the impact of AIDS, the unusal business practices, the difficulties of logistics etc etc.

I hold a significant number of MGY shares but also recognise that the existence of commerical quantities of graphite etc are yet to be proven but acknowledge that as each day passes the probability of there being a company maker is getting higher. As always PDYOR.

Cheers

R1