elm's res.estimation 4 holes doubles stb's res, page-5

Patersons have issued a research note with a speculative buy at $1.75 for ELM.

Catalysts:
JORC;
Commencement of DFS in qtr 1 CY 2011;
Step out drilling between Dougou and Kola.

Assays for remaining holes expected shortly.

The DFS for the project will commence in qtr 1 and ELM will immediately begin a second phase of drilling to test step out targets at Kola. This may include testing the potential for a large unified sylvinite deposit between Kola and Dougou.ELM is assessing the option of drilling this southern area.

Mineralisation is open in all directions.

Advantages:
55km from port;
shallow mineralisation;
high grade mineralisation with potential to produce a pure product.