Ann: Rights Issue Closing Date Extended, page-11

Hi Sarg,

We would be in exactly the same place with MAYBE a register that was not so concentrated in so few hands. Money is not hard to raise on market  Sarg when you have good exploration ground. Evidence of that is everywhere in this end of the market. Even absolute dogs get capital raising's bedded down. Not always on favourable terms but achieved nonetheless. Peel would never have had a problem going to the retail market for the money. It was just more convenient for management to do it via private placement's in the past.

The problem as i see it is that we now have SBM as the second largest shareholder on the register, having acquired nearly all of its shares via placements. There has been no buying on market & the associated upward price pressure that one could normally expect. The small premiums those previous placements were made at probably didn't even equate to the price they would have had to pay on market to secure so much stock. Its a cosy little arrangement for SBM. At least we currently have Josh Pitt acting somewhat as a buffer to the 1000 pound gorilla.   .