BY FACSIMILE: 9221 2020ATTENTION: CARISTINE PANETTADear...

BY FACSIMILE: 9221 2020
ATTENTION: CARISTINE PANETTA
Dear Sir
REPORTING REQUZREMENTS
In response to your letter of request dated 18 June 2002. we advise as follows:
Working Capital Position as at 31 May 2002
Current Assets
Cash at Bank
Receivables
Current Liabilities
Payables
218,437
49.179
267.6 16
m
Working Capital at 31 May 2002 Um.2
In addition to the above, we confirm th t the Company Is in receipt of an annual
royalty income of $500,OOO per annum, payable quarterly, with the next instalment of
$125,000 due in July 2002 and that the current overhead expenses of the company
continue at the rate of $35,000 per month including legal costs.
Yours faithfully
Angus Pilrner
Company Sec-
Precious Metals Ausrmlla
Level 2
44 Ord Street
WESTPERTH WA 6005

It seems they can keep their head above water until the Va price rises.

Regars

Desmond