chart - looking firm, page-23

re: re:laf -irj_philippines IRJ,

Yes it looks good -they have environmental clearance. But there is no title other than an FTT which gave foreign companies 100% ownership of a project -and even WMC after spending much, much more than LAF could not make that one stick.They had people up there working their butt off to make everyone happy but eventually the tribal people blocked the project. Basically the new Mining Act which we all had so much faith and hope for is being challenged by the forces that do not want mining at all in the Philippines. So despite all the good news LAF still have to mine under an MPSA. (Mineral Production Sharing Agreement) or a hand shake from the right people.

Red5 are making big noises about having a granted MPSA at Siana -but an MPSA is really nothing special - it still legally requires 60% Filipino ownership under their constitution. I know people who also have granted MPSA's and they are still in force - the locals don't care if you don't pay the rent.

Everything might be okay now with the DENR -but a new guy (like happened recently) comes in with a different agenda and you could find yourself stuffed with no legal recourse. Go back on the ASX announcements of Climax over the years -all set to go with USD$60 million financing from memory and then some turkeys came up with water rights problerms at the project. Admittedly metal prices went against them but it bascially got down to local opposition. I don't know - LAF may make it under Arroya -but she is stepping down - so caution is the watchword.