quarterly, page-3

Agreed HS.
It seems most people saw early on what i didnt and that as a very poor quarter.Allowances can be made for fire floods and equpment failures but costs are still just too high.

Countering this we have a fantastic deposit materialising at Groundrush.

People are obviously thinking there is a chance that the West Tanami iceberg will sink us before we sail to our main destination of Central.

So what are the odds and solutions.
1.
Just stop the West Tanami operation and the bleeding with it.Trouble with this is there will be overheads still and we will incur an even bigger loss.

2 Bring down costs.
Some of this will happen anyway if we dont have anymore fires, floods etc.The remainder will be difficult without good managment and we have less managmnt than before.

3 Increase production.(but not costs)
The race is on to do this now.We should hit West Zone of Coyote sometime in march.We will then be on 12/15 grm feed instead of 7grm.But as has been pointed out we may run out of bucks before we get there.

4 Get a loan.
Without performance we could be limited to Hong Kong again.He will undoubtadly want his pound of flesh.At least if we reach West Zone the requirements will be small.

5 Lease out all or some the plant.
This should give us a guarenteed albeit limited profit.managment are testing the possiblity of this .The time frame is not quick enough to let us avoid the "iceberg" but it might be a sensible long term solution if we dont get costs down

If none of the above work then we will have to raise capital.Just hope we have a few more results like the last set if we are forced to do so.

This share no longer "good as gold"Plenty of bucks to be made but not for the faint hearted