for what it's worth ..., page-4

Admittedly I didn't mention the $70m safety net clause, but I hadn't overlooked it either.

1. In trying to get some more perspective on the deal,
I was trying to keep the calcs as basic as possible.

2. However, why would Mega be eager to give SER more than the 33% if they don't need to? On what we've been told so far, it shouldn't be an issue. but I stress, on what we've been told so far ...

3. Mega will be listing with two advantages to both Northern Graphite and Focus Minerals. They will have both a mine (ie Uley) almost ready to go, and the experience of how the NGC and FMS IPO's were received.

Meanwhile, you write: "As mentioned here previously I believe Mega (which just popped up two years ago) has a major backer/shareholder who will most likely suscribe for around 40% of the new issue and leave a free float of around 30% or $60m."

With respect, is this any more than speculation, an educated guess or backed by some substance? Because until we're offered some definitive, substantial facts and figures by SER or Mega, we're all reduced to playing around with figures and opinions to try to gain some perspective on the situation.

The good thing about it all, though, is that the three of us seem to agree that Uley is a VERY important part of Mega's strategy and SER shareholders are onto a winner.

Sunman