BDR Basics (FA), page-11

I attended the recent Resources Rising Stars conference in GC. At the end of the first day, there was an interesting panel discussion. Not many attendees were paying attention because there was much grog served. There's always much grog served at these events, which does make mingling amongst strangers easier. Just a couple of glasses can change uptightness to cheeriness.

A question was asked of the panel about sovereign risks outside of Oz. The response given was that we should be more wary about sovereign risks within Oz. The Oz Govt. doesn't need to expropriate mines to cause huge losses to investors. It only needs the govt. process to be hijacked by extreme Green and other interests groups who would not baulk at imposing company-breaking levies and regulations. The panel member also said that it was actually easier doing business in many countries perceived as being high sovereign risks.

Another comment made by the panel was that ASIC has tightened the rules for reporting drill results to the point of disadvantaging junior miners because junior miners need to report good drilling results for CR purposes, amongst other things. But they may not do so as easily anymore.

R.