Ann: Response to ASX Price and Volume Query , page-6

Faster speed for Gold Assays if visible - But....

Usual practice is to go for cheaper Aqua Regia as a first pass, then Fire Assay follow ups on significant gold. This is due to price of assay techniques - don't burn cash on Fire Assays unless necessary.

In Practice, if you see visible gold, you fire assay, and Screen Fire Assay to determine the nature of the visible gold. But good gold grades you don't see, you usually have done Aqua Regia first, then you have to do Fire Assay follow ups.

What this means is that even though you Fire Assayed vis gold in the first pass, you still need to Fire Assay the surrounding intervals to make the ASX announcement meaningful. So this slows down the process because you have to wait for the lab to run your Fire Assays. And remember, the labs have multiple clients, so you have to wait your turn.

For ASX announcments, the practice is to be coy about your grades until your Fire Assay data arrives, to confirm the 1st pass Aqua Regia Assays.

But if you had a gold system without vis gold, you probably would have Aqua Regia assays for everything. And if you got good grades, you can ASX announce straight away as the assay technique is all the same. Then later on you ASX announce Fire Assay followups.

This is why companies are coy about gold grades, and this is why ASX price queries occur - the time lage between getting 1st pass and 2nd pass assays gives rise for leaks of info. The problem is always keeping the leaks sealed, and dealing with them if they occur. Most often leaks occur because everyone is so excited, someone accidently blurts it out. Rarely leaks occur because someone seaks to take advantage of low SPs. The ASX tend to believe the latter - guilty until proven innocent.

Cheers

Still a good story in the making there.