Ann: Repositioning Mungana - Heads of Agreement w, page-2

re: Ann: Repositioning Mungana - Heads of Agr... This is a terrible deal for Mungana Goldmines. I cannot see how the Independent Expert will recommend how this is the fair and reasonable. Mungana Goldmines has significantly written down the value of the Mungana project( see 2012 Annual Report, p17) because of the Kagara troubles. The much better deal is for Mungana to buy back shares owned by Kagara (as is currently planned), but don't sell the Gold Area Agreement, This then allows for the re-rating upwards of the Mungana Project. Who is in the stronger position here- the Kagara administrators of Mungana Goldmines?

The Mungana Project has a favourable Stage 1 BFS, why is Kagara to apparantly receive this benefit?