Ann: Quarterly Activities Report , page-4

There have been some big reductions in Burkina, incl staff.

Torkera looks very interesting (NW striking), and it look s like they could be onto a shoot of 3 gpt Au, which will do very nicely (see Papillon for an idea of how grades like this make a difference). Would be great to see this develop with depth into a significant ore position, and the strike length of the mineralisation suggests it may have some legs at depth.

Napaelapera also looks highly encouraging and great to see it so close to the main Konkera site. Obviously a different style of mineralisation, with a different structural control (NE striking)so, as I have saod before, this is adirection to watch, and this willnot be the only gold mineralisation in this direction. In fact Vindaloo is in a simalar strike direction. IN fact a lot of the mineralisaiton in Burkina Faso in general is along this strike direction, so definitely one to watch.

This is the good thing about Batie, is that there is good evidence of mineralisation ina number of structural settings, lithologies so it is reasonable to think the resources are going to grow.

The intercepts at the Intrusin related mneralisation at Wadaradoo are very encouraging, and it would not surprise to find this oxidised mineralisation was leachable. Another to watch.

The grades in the resource drilling look like if they come in as a shoot, then this will also make the project fly along. There could also be some shoots developing as well suitable for undergound mining (30m @ 5.8 gpt Au, 16m @ 5.9 gpt Au will do the trick)

So it will not surprise me to see them get their ounces, and quite possibly at an improved grade, with some high grade shoots.

Good to see the new permits n Cote D Voire being finally granted.

Looks like the environmental clearance work is moving along quickly, far quicker than ever can be done in Australia.

Excellent to see the cash burn rate being cut back. Having an Exploration Manager on the sort of money mentioned in the Annual Report, plus a Principal Geologist is way over the top. Like to see the board cut back as well,

Also hope they are looking for a new MD who can take them into the development and mining phase. It is critical that experienced developmental team comes on board, and this is generally done by a lead manager. Kitto can go and find the rest of the gold along the Batie shear, and off the shear as well, as we see now at Napelapera.

No mention of what has happened with the Carbine JV's or have I missed something?

Plenty of gold in Batie to be found!