q is out, page-3

Quick review and it looks in order except for one significant item.

Cash cost at Paulsen's up over $250 with management not thinking it significant enough (as bets I can see) to make note of the reason, or highlight this material point in the headlines amongst all of the good assay results.

I think the reason is the production interruptions that occurred in the quarter reducing output against fixed cost. I will plug my model to prove that hypothesis shortly.

This said the underlying concern is a Board that bungled a raising, alienated local institutions and by my read, failed in their disclosure obligations under the raising as evidenced in their fumbled cleansing statement. (ASX/ASIC gave them a conceded pass and one suspects a yellow card).

Has the UK placement added greater value than would have occurred locally? Well maybe to the Directors network and CV but not to the company.

One continues to ponder a raising that exceeded the companies capital requirements, which were well covered by operating cash flow. The only explanation provided was that we now have $80mil in the bank. This a mathematical consequence rather than a strategic reasoning. An insult to anyone reading the announcement.

They do however have an amazing asset and a knack for drilling in the right spot. If they can match their operational craft with decent governance they will realize the true value that the assets are capable of producing.