36c Rights Issue, page-25

Hi Smoking

Your analysis is simply incorrect - as far as I am aware PEX currently doesn't have any completed Feasibility Studies (FS's) for any projects

where a Net Present Value (NPV) has been determined - therefore as it stands their net asset value is basically zero

- countless companies have deposits worth billions of dollars in the ground but until you have a FS that demonstrates an 

economically viable project with a positive NPV, you have nothing quantifiable. PEX is trading at $0.35 on the basis that shareholders

believe their deposits will in due course have NPV's of $0.35+ per share - I certainly do! However, as we sit here today they have

nothing proven economically viable (hopefully the soon to be released FS for Mallee Bull will change this). So at present they trade

at $0.35/share (market cap $77 mio) with nothing proven. Contrast this with many others I can name - VXR trading at $45 mio

market cap, this week released FS with NPV of project $320 mio+!),  check MOD, CMM, EXU etc etc etc - all these co's are trading at

market caps significantly below the NPV of their projects. PEX hasn't even completed a FS yet demonstrating a strong NPV and it is already

trading at a higher market cap than most of these co's!

I reckon the management is doing OK!