In Sept 2003, I bought some shares on the strength of 2 reports....

In Sept 2003, I bought some shares on the strength of 2 reports. Pse refer to the map of this:

http://stocknessmonster.com/news-item?S=ADU&E=ASX&N=245066

Note the "AKANKO" Project with his historic underground mine 2.5 km north of "Salmon North".

My thinking was that they would start drilling around the mine first because one could expect some high grades; after all, this old mine itself may well have had grades of up to 2 ounces per tonne or more perhaps.

I did envisage an open pit and mining a large ore source with higher grades.

Once mining started they would then proceed with drilling the North, Centre and South Salmon Trend.
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That did'nt happen, all the drilling was well south and south-west of the AKANKO Mine with 2 grams/tonne grades. I became less enthusiastic and sold out at a small loss early in 2004.

As Gold prices rose, I entered ADU again at end of Oct. They are now drilling closer to the Mine and I am again expecting higher grades and a starter pit in that location. They can then mine much higher grade ore first followed by the 2 grams/tonne ore later on.

Of course, the current Gold price helps.

Shares: 86.4 mill with 9.92 mill of unlisted options Dec 2005-2008.

The resourse was sometime ago given as 1.2 mill ounces with grade 2.0 gr/tonne. Of this, 5.8 mill tonnes with grade 2.3 gr/tonne or 429,000 ounces.

I think that when they finish drilling, the resource will be much higher, not only because of drilling around the mine but also new projects.

Gerry
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