Ann: Drilling Update, page-121

No worries SMR we’ve all got to make that call and it’s not an easy one.

Will look forward to any more info U can glean.

I think the problem we have is that a lot of work has been done on Cerro Galan caldera itself but not on its peripheral geology. The other issue is that with the massive caldera collapse at Cerro Galan just how much of this influence moves north along these fault planes.

What interests me geomorphology-wise is that the CSMAT survey intimates dip from east to west across Candelas which fits in with the Cerro Galan Caldera hinged collapse described in the updated items available which was also hinged at the east and dipped west.

Just how influencial are those two slip faults thru the acreage and do these faults exhibit more hydrothermal influence on this deeper strata resource. Is it additive or does it subtract from concentrating the brines in this deeper zone ?

I can understand the confusion that some have in deciding whether to hold thru the whole drill program but I still come back to there being decent potential even in the deeper part of Candelas. If that second slip fault is contributing Li via any potential hydrothermal activity is there a compression concentration effect occurring into the centre of the hydrothermal zones and is it simply a matter of finding the sweet spot. Does a sweetspot even exist ? Looking at the position of hole 2 it may appear that that’s what they were looking for but ended up being too close to a hydrothermal.

This may also be why they are going to now drill more holes if that change in drilling strategy is on the mark post the 5 holes I hope. They may have found they need more holes to find the more localised high grade zones if they exist in this deeper, more hydrothermal influenced part of the resource.

Gonna be an interesting ride.

Gr