director's purchase of shares, page-2

sdet88. I don't know what to read into this transaction either. But it seems significant, beyond the director becoming a signifacant shareholder.

The Mongolian national director, Mr. Ganbayar Lkhagvasuren, bought all the shares issued to the holder(s) of the Nuurstei property, or at least the quantities of shares in both transactions are exactly the same.

While the transaction worked in the opposite chronological order, in effect the company issued 10 million plus new shares to the director at about 23 cents, and he paid cash in lieu to the previous owners of Nuurstei to the exact amount of $2.5 million Australian Dollars.

The company is still small, and Mongolia is still a pioneer's playground, so I will take the view that the board figured this was the best way to do things, for the benefit of all shareholders.