broker update, page-8

The Fosters valuation DOES include the potential of PIR to go to an updated resource of between 0.8 - 1.2 Moz this quarter. The way the share price is calculated by them is far more complex than simply going 'if we double the resource, we double the market cap and therefore share price'.

Not wanting to dampen enthusiasm as I too really like this stock and I'm confident it will continue to go up with the great project areas they have and the great prospects like FNE, FSE and Fekola will continue to deliver positive exploration results for a long time.

The Australian market typically values companies Enterprise Value per JORC resource ounce (EV/oz)of approximately $100. Therefore as our market cap is $159 million the market is anticipating that at current share price levels PIR's resource should get to 1.6Moz.

The stock had a great run during the Indaba mining conference and now that it's broken through support the fundamentals are that it will continue to move upwards. I'd say a SP target closer to 1.20 by year's end is more realistic which is a healthy 50% increase from today's share price.