Ann: Proposed Purchase Update - Mt Carbine Quarry & MLs, page-19

Heads of agreement leads to contract of sale being prepared and negotiated on. Negotiations on certain conditions usually delay signing of contract of sale. This happens occasionally when parties want to implement special conditions for a stronger position. Please note that binding only means certain terms are binding. Negotiations for everything else still happens. And just a note: the heads of agreement and contract of sale are two matters