agm, page-5

Mmmmm.I went to the AGM. We all fitted around a board room table with 6 leather chairs with one extra chair brought in from another room. One director attended by mobile phone while being in the Eastern States, he squeeked a couple of comments. I was one of 2 shareholders who were not part of the office holders or staff. A fellow from Veritas Securities was there.

The atmospherics were very cordial and relaxed. The voting and business was conducted fairly briskly, mostly voting options to a couple of entities, endorsing the 3.5M shares @ 38 cents and setting up the facility to issue 10M shares within the next 3 months. This was discussed. The board has no intent to issue any shares at the moment but wanted to be in a position to be able to do so if circumstances justified it. They thought that money is fine at the moment especially as the options are in the money and are being converted at a steady rate.
There was no presentation, not necessary really as the focus is Buena Vista and getting a PFS completed in the next quarter.
I'm not good with names, but maybe it was the CEO (Max Nind) who using a white board outlined what was happening at Loongana and Narracoota. But basically these are very much on the backburner as BV is taking up the most time and resources now.
I asked about railways, ports and business climate and the same person was the main source of information. It all seemed very positive, there are several ports available with different sets of pro and cons. Different facilities, different ship sizes and one was nearly deserted (very little happening) but it needed a storage shed and a bulk loader. They have recieved there first quotes for rail but are still negioating.
I asked about the type of processing that need to be done to the ore to do the upgrading. Apparantly because the silica is bound to the background rock it can be separated from the Magnitite ore using a coarse grind and magnetic separation. The plant used for this has been around since the 1950's.

In general it all seems to good to be true. The capex will be modest/small ($100M) and they think that mining could start at the end of 2012. I didn't ask about how the financing would take place, I presume that is where the Veritas Finances man has a role to play.

Saltbus

PS. Too funny, shades of jumping Meerkats etc. I nearly burst out laughing. The other shareholder asked a question about a JORC for BV. The answer was that there already was one, the US Steel drilling was done at 60 metres and they basically had more than $20 million worth of resource data. And he added a comment that he keeps getting emails from some fellow that wants to know when they are going to get on with some drilling, and he added there is no need for anymore drilling.

PS. I've tried to give an accurate reflection of the meeting.