Ann: Option to Acquire Dragon Mining's Stake , page-16

re: Ann: CHN: Option to Acquire Dragon Mining... I think it's a very good deal. Dott I don't know where you're coming from. Facts:

8 mill in cash. People posted that 10 mill in cash would be a good outcome.

2 mill shares, current value is 800 G. This is a bit of a punt but it means that DRA still carries some value from Zara. Now don't forget that the market was currently giving dra no value for Zara.

Possible $4 mill. Now I agree that the wording "reserve" has me puzzled a little. However, "a further A$4 million on delineation of a 1,000,000 ounce economically mineable gold ore reserve", that's not "resources". However, this will be proved mid year, possibly.

Then there is the 3.4 million debt that dra does not have to pay. Therefore freeing up their balance sheet for other commitments.

There was also the 10% free carry for the govt. that was hanging over the project not to mention the fact that they could buy up to 30%.

Even if you take out the 4 mill it's essentially a 12 mill deal.

Personally I think it's a good deal.