Ann: Inca Agrees US$9 Million Earn-in Amount, page-26

If S32 find a Tier1 deposit similar to others within say 30 km of Riqueza they will want it all - that's the rumour, and it has been circulating for several months.  But that is for the future IMO.

What we have today is the following statement from Justin.

At this stage (the 'other terms' are yet to be announced) it seems like a standard earn-in agreement. The important thing being that we are saying that S32 are committed, but we will not see funds and large investors flocking in until there are signatures on the dotted line, and all the terms are agreeable.

I am very happy to see today's movement in SP - others will want to get on board and history shows that a buy into Inca at these levels with news guaranteed to come is always rewarded.

Taking Dr Jonathan's repeated comments that this gives all the indications of being massive, and taking on board all the data we have to date, I think the promise of success for Inca is very very real this time.

Holding 40% of a massive Peruvian polymetallic project is not to be sneezed at - could eventually be valued at upwards to a billion dollars, and even if we have to trade some equity to be free carried then that would be as good or better.  On the other hand if the rumour is true we will get big bucks for our remaining 40% - provided Ross and his team of negotiators get all the ts crossed and is dotted - and that Dr J's Alpacas stay focused (and don't run off to join Al in the flesh pots of the Med).

We must never forget that Cerro is waiting - With a track record of success Cerro will be easier (if there ever is something easy in Inca's game) And also take on board that Ross's team in Peru have been on the ground there for quite a few years now, so there is always the chance that they will pick another plumb out of the pudding. Recall how surprised we all were when Riqueza was first announced.

IMO today's ann confirms our cherished wishes, it has derisked this program. While for now only we holders may know that, it will hit the news soon enough.

GL - stay tight and back up against the shed Alpacas.