Ann: Indicative Debt Funding Proposals Received For Rothsay, page-21

@Barolobill has left EGA for greener pastures so I will try to answer your questions.

The DFS is supposed to be within 15% of the real ASIC and it is done by independent consultants. You always have to worry if the DFS numbers turn out to be accurate, but there is no reason to think at this stage the values in the DFS are wrong. Given the likely upgrade to the MRE from the southern drilling campaign it is probably on the high side now.

The ore sorting and the twin boom jumbo's are intertwined. Originally EGA was going to mine with single boom and stay narrow, but given the performance of the ore sorting it makes more sense to drive wide and let the ore sorter deal with the dilution issues. Ore sorting is still relatively new, but it is the future of underground mining. This is one of the things I really like about EGA.

The Rothsay shut down when gold was under $300/oz so you can't assume that all the gold was taken out. EGA is hardly alone in re-opening an old mine that closed in the 1990s due to a low gold price.

Once you go underground the life of a mine is somewhat unknown. Rothsay is still open at depth (let alone along strike) so nobody knows how long they will be mining there - there are a lot of underground mines in Australia that have had 5 year lives that have been mined for 100 years.

In the end the success of EGA will come down to the quality of management and a bit of luck. All the signs are good, but there is still risk hence why the SP is sitting at 20c. I think the risk/reward ratio is on my side, but only time will tell.