what does this mean?, page-5

It is my understanding that a good portion of these shares are held by top twenty shareholders as a result of them vending CIP Coal into Xenolith. Amongst them are Gavin Argyle and Taso Arima (Exec Director) therefore I wouldn't expect there release to have that much bearing on share price although the market seems to be somewhat spooked. Lets remember that these shares are already quoted and therefore part of the existing capitalisation of CPL. They are not new shares about to be issued.

The Scoping Study proved the viability of CPL through export of 4,000,000 tonnes and estimated pre tax cash flow of $150,000,000pa. Throw into the equation the potential of the Coalspur leases delivering the same, if not more, tonnes at a cheaper cost of production due to synergies and we will be looking at somewhere north of $300,000,000 pre tax cash flow pa. Not bad for a company currently capitalised at around $100,000,000. Patersons have raised their target valuation to 60c however this will change dramatically in the near future once there is a JORC for the Coalspur leases which Paterson currently ascribes no value.

It should be an interesting month ahead.

Regards

Danash