Yes quite disappointing. But as you say Charlie, we don’t need...

Yes quite disappointing. But as you say Charlie, we don’t need the money immediately. Probably over $120 million still in the bank and no debt.

As I have said some time ago, I don’t think we will have to pay too much out to the government. Perhaps a larger stake by Gecamines and higher royalty charges, etc.

My guess is that the funds raised were to go on development and M&A. Most funds as stated by Management would be spent on Kinsevere II, but I also suspect (hope), it would also finance Kinsevere stage III. Additionally a larger stage II Mutoshi development. Along with fast tracking other developments in Africa and the DRC.

We will just have to do a lower CAPEX development. Or wait out these terrible market conditions. TSX has been ugly the last couple of weeks. But copper has bounced back to $3.25. So we can only hope we won’t get washed out to sea in the storm.

I’m very concerned we are now vulnerable to a hostile takeover bid in the short-term. We need the contracts issue resolved soon.

Hang in there folks.

KKR