iluka quarterly, page-3

They are good questions Desmond.

I would be almost certain we'll see no deal in 2013. If Iluka is right about zircon demand recovery being around the corner then we have to expect that their forecast of 1st quarter 2014 is the earliest likely period for a deal.

At the moment it sounds like very casual inquiry from potential partners. Our best hope for a quicker result is if Bill Bloking's decades of business networking in Asia turns up the right contacts that we perhaps have not had previously. We can't count on that at this stage.

So it is more likely than not we'll get to capital raising without a deal on the table. But it won't be without activity. Based on past needs, the company's brokers have consistently been able to stimulate the market enough to raise sufficient capital. It will be harder this time after the Posco failure but if they can put enough heat into the marketplace they'll get some interest.

Lots of ifs I know but this is a junior spec so that's par for the course.