breakout alert, page-36

Mongrel,

Fair comments but a little premature imo.

The current JORC resource is from just 2 of the 73 concessions drilled to date.

The capex and process route to port is similar to Brazilian iron ore operations, shorter in some intances and is comparable to large rail operations, also SRK will not be paying the Capex...

Production is expected in 2013 with costs in the lowest quartile which means for the NPV to be negative FOB would have to be less than US$40/t. Secondly the coal project also has a positive NPV but requires offtake and funding.

And most importantly of all, management have the capacity to bring these projects to fruition with their RIO/BHP experience.