Discocopper, good post and I agree generally with most of your...

Discocopper, good post and I agree generally with most of your comments. However I will add some more comments for discussion purposes
1. I’m aware that some juniors sometimes do not report the results of drill programs that fail to find any worthwhile mineralisation, though this does not make it right and tends to reflect badly on management. In the case of North Romang, the company has always ‘’talked’’ the area up as its most prospective and continues to do so in its latest presentations. This makes any drilling results from this area, whether positive or negative, material to the company. Something does not add up.
2. Again I agree incentives for employees by way of options and share plans are a great way for junior resource companies to attract the best quality staff and compete against the large diversifieds. In fact it is probably the only way and I have always encouraged juniors to be very generous with share and option plans in these circumstances. However I can’t think of a more flawed way to do this than providing interest free loans which only get paid back if the stock price rises. The whole point of these plans is to conserve scarce capital (so important to a junior) and this fails spectacularly.
3. Agreed
4. Agreed
5. We will have to agree to disagree, I don’t see why it has to be linked. But surely if this indeed is truly the case then the option must be considered to not raise the capital by this means at this particular point in time. This discussion caused me to go back over some of the past announcements of ROL. In April 2010, ROL paid $20m to increase their stake in the Romang Island project from 75% to 100%. This valued the project at approx. $80m. They then subsequently sold down 22.5% to Salim Group which valued the project on a 100% basis at $100m plus. In the meantime all they have done is confirm a million ounce equivalent JORC resource on a fraction of the total project area. Yet now we are to believe that the project is now valued at a third of the previous sales. I am missing something here.
6. Discocopper, I agree and I think you sum this up perfectly ‘’ It should give some strength to the share price (but that doesnt seem to be working)”’ – It is not working because the company has lost the trust of the market.
Cheers
Locust.