Ann: Discovery Hole at Vidalita, page-17

I called the company and raised your specific points WCJ. You are mostly correct, with these exceptions:

Emu has drilled some targets to the north of Vidalita but has not announced results yet. This could change the picture from that one section you refer to above.

The breccia was not mineralised on that 5300N section as you say, but the recent announcement indicates that the assays and geology of this hole may indicate:“….the occurrence of sub-vertical faults and silica-pyrite breccia indicates a possible vertical trend that may be controlling high grades of gold and silver. These structures are open along strike, at depth and down plunge”.

Previous announcements refer to a diamond drill hole 5700-1 located 300 m to the north where highly altered polymictic breccias are associated with significant gold and bonanza silver up to 1500 g/t intersected at depth.The big potential has been stated to be primarily along strike and down plunge – (likely to be to the north).

My read on the geology (and I am obviously not as experienced as you are WCJ) is that the trend goes north which is where the system remains open and at depth and we dont have results from that yet, so this continues to be a good punt, and the drill hit we got yesterday has only capped the stock under $10m so this could really move from here.

Good luck to the holders