investor presentation - 25th august 2011, page-18

Talentless

Lets go through your points 1 by 1.

"1) It is the quality of the resources that are important. It?s not just tonnes and grade that you need to look at, it is the ability to produce a product. You can have intelligent people and good resources but not the ability including ouside your control)to make it happen."

Those who have met with management and have invested are obviously very happy with both the quality of the resources and the people and that they will facilitate resource upgrades and development of the project. They will of course need to recruit additional people along the way as would ANY company with a normal growth strategy.

"2) With application for environmental permit due mid 2012 and 6-9 months for approval the operation will not be starting until 2014 (if it happens)."

I think you will find that this is one of the fastest permitting timeframes for any mining project anywhere in the world.

"3) No feasibility study has been conducted. The capex number I have seen is US$100m. How accurate is this and what does it cover? Does it include things such as tailing dam construction and other earth works, environmental bonds, employing a work force, drill out, de-watering, working capital etc? "

As stipulated publically by the company a pre-feasibility study will be undertaken on the back of an impending resource upgrade. This pre-feasibility study is scheduled for completion Q2 2012. This study will provide firm estimates of CAPEX.

"4) I truly love the 200m schematic pit on pg 7 of the recent announcement; it highlights my point of no mining experience. If pit optimisations have been done they should show that. So how they calculated total mining costs I have no idea and thus POSSIBLE mineable resource (note not reserves. What were the assumptions made in the base case? If they were based on the schematic pit shown they are having a joke, if not then show the optimal pit shell (remembering this does not include a ramp)."

Before CVY purchased the asset they ran an in-house conceptual mining study (results published in early 2010). Possible open pits were generated with the Whittle software. The schematic pit as illustrated in the Company?s presentations is just that ? illustrative to demonstrate the underground potential on completion of open pit mining.

"How much of this top 200m has already been mined out?"

There has been no open pit mining previously. The only ?mining? was the installation of 3,500 metres of underground development in the mid 1990s ? for exploration purposes only. As a result of this underground development there is a stockpile of ore at surface comprising approximately 21,000T, containing approximately 3,000oz of gold. None of this ore was ever transported off-site to another party?s processing facility because the low prevailing gold price precluded this from being economic.

"5) The Cameron open pit area is on the edge of the Cameron Lake and the current decline is flooded. Most of the other prospects lie under lakes which are fisheries. Water and environmental management, WILL be major issues. What are the costs associated with this? I bet you know one knows."

As far as the company understands the extents of the mineralisation at the Cameron Deposit at presnt, the open pit mine will not impact Cameron Lake itself (or other lakes) ? hence they do not anticipate this will trigger any major permitting issues. Notwithstanding this, as is the case everywhere else in the world, water and environmental management will be major issues when permitting and they are well aware of this. They continue to address this and have considered the requirements of the regulatory authorities in their guidance on permitting timelines. Some (but by no means all) of the other prospects within their 12,800 hectare project are located closer to (and indeed some are under) lakes. These can potentially be mined either by open pit or underground methodologies. They need to delineate resources and undertake mine studies on these before determining how best to proceed. Permitting these operations may take slightly longer. But their intention is to be obtaining permits to mine these while they are mining the Cameron Deposit. This is all part of the sensible scheduling of the entire operation.

"Nothing is insurmountable but I don`t believe this board/company will not be around to mine it. The board are clever men but not miners. So why not spruik it and get someone else to take the risk? They have done it before and mostly likely will do it again."

If that means they get best value for the shareholders all the better. They are certainly working to get the best value for their shareholders. To date they have done what they said they would and are producing very positive results on schedule.

"Simply put nothing is currently happening with the SP except for a lot of hot air and that means there are better opportunities to invest/trade in. "

I beg to differ re hot air and other opportunities. They acquired a quality asset in April 2010. They have subsequently drilled 299 holes for 44,135 metres in a 15 month period. They have regularly released results confirming that they have had considerable exploration success. They are moving the project through mine permitting and feasibility studies. I personally don?t know a better/more undervalued, legitimate gold Company to invest in. And I don?t know what has been ?hot air? along the way?

Having read through the 6 posts you have ever made on Hotcopper and seeing that you really aren't postive on anything may I suggest that perhaps you should focus more of your energy on stocks you do want to buy rather than not wanting to buy as it is very difficult to make money not buying anything - or perhaps therein is the reason for your handle on this forum.