business lateline, page-4

Amazing,

In the shareholder update............

Last year we completed a A$23 million capital raising which together with our existing cash reserves, enabled us to fully fund the Engenho construction phase. By the time construction is completed next month (that is now this month people) we will have a strong cash position of more than A$8 million, no debt and, importantly, no hedging, provideing us with maximum exposure to the strong gold market.

Gold currently at US#975................sell at your peril

Harlee