36c Rights Issue, page-18

Whilst I don't want to get into debating the promotional skills of PEX management again, one thing I would say is that many of the base metal

explorers are doing it tough at the moment, with seemingly very little or no interest from the market, even for very good news stories. Take VXR as

an example - earlier this week they released a very good DFS for Sulphur Springs (NPV after tax $300 mio+, current market cap approx. $45 mio) and

the shares did nothing. Amazing! Now it's true that they need to raise the capital to develop the project, however the lack of buying interest is

very surprising. Another recent example is MOD - good news but the share price keeps drifting lower. Base metals just seem to be out of favour at the

moment.....all we can do is try to invest in projects with real competitive advantage so that we give ourselves the best chance of strong returns..