Here comes the cap raise, page-8

Hi Mineralised and all,

I have refrained from commenting here previously as I have been building a position in NZC, which is relatively illiquid (now done).

I was first given a heads up by a good friend at Sprott when NZC released their recent drill results from Kasangasi. The rock sequence is the same as at Kakula and suggests there may be a decent Cu discovery in the making.

However, when I looked that the Company the Kalongwe project really stood out and appealed to my Scottish investing style.

The obvious issue was the A$1.9m cash vs. the required c. US$53m to build the project.

I called Anthony/ Mark and talked to both of them about possible CR's and the prospect of participating.

I was very impressed with both guys and how the project was developing. I can concur with Mineralised that whilst my offer was received politely there was no indication that a CR was forthcoming or that the Company lacked options. Some funding Options include:

- Offtake partners who are "desperate" for concentrate to provide funding, whether via forward sales, equity stakes in the project, or low cost debt packages

- Much of the equipment will be manufactured in South Africa. The Export Agency provides low cost finance to promote South African manufacturing exports and this is a possibility.

So, I agree with Mineralised and think that one day, in due course, we'll see a comprehensive announcement that shows how the Stage 1 project will be funded along with possibly a smallish CR, hopefully on a right basis.

Accepting the DRC risks, I think that this is an excellent play in the Cu-Co sector and, unlike many of the current Aussie hopefuls (dreamers?) this will definitely become a mine and within 12 months of FID.

There are so many upsides here for a small cap Company lying in plain sight that it's hard to keep the position size weighting correct.

Cheers
John