drilling and facilitation fees

I dont think there will be any drilling until Setember October this year we are talking 4700m altitude, a very cold winter. I would be very happy to be wrong on this point.

The other thing that needs to hapen is the AGM needs to sort out all the issue of options to directors and the fairly enormous facilitation fees need to be in the past. These fees in some cases amount to a commsion of 50 to 100+ % being paid by the buyer. For the last 20% in Peru they paid the vendor 2million shares and 2million options but paid an introduction and facilitation fee of 5million shares and 5 million options + a 1% net smelter royalty. The directors dont even bother to say what the option strike price is. So here we have a fee more than two times the transaction value. Maybe it was the only way the deal could be done.

The other problem is that they have sprayed the walls with money and are now running low and do not have capacity to complete the Russian area deal.

I am slightly old school. To me usual practice is to do a sophisticated placement to fund the deal beofre it is anounced. Saves the overhang of a large raising.

Past announcemnts said trial mining by the end of 2007. well I dont think they will even have further drilling results until then given the que in assey results.

The directors incentive options seem ok to me.

I like the deposit but think they have well and truly over spruicked thenselves.