Ann: Quarterly Report March 2018, page-16

Azure SP doesn’t seem tethered to any particular commodity price. Production is too far away, the economics of extraction too uncertain

SP mostly just oscillates based on sentiment and newsflow.

With respect to the former, in my opinion over the past 18 months the company’s reputation as a chronically underperforming junior has become firmly entrenched in the local market.

This is perhaps the only good reason I can think of for a dual-listing on the TSX (other solution is to replace the company leadership)

Over the past 10 to 15 years the company has sucked tens of mill from investors and issued huge numbers of shares for zero wealth creation. So many burnt investors. Trust and confidence may by now be irreparably diminished

I believe the market now focuses above all else on the risk of further massive dilution prior to extracting a single gram of mineral from Alacran. It even overshadows exploration results

The company framed the recent consolidation as a precursor to a TSX listing, but this has now seemingly dropped off the short term agenda.

This may only create a perception that the maneuver was simply a pressing of the reset switch, paving the way for further years of non accretive raising, rinse and repeat etc

I know I sound glum, and I acknowledge such talk may turn new investors away. But in my opinion these are the facts which shareholders should be discussing

Alacran will be a cash generator, but shareholders run the risk of missing out on the spoils if the company spends recklessly, pursues vanity projects and engages in further massive dilution!