takeaways from agm

My key takeaways from yesterday's AGM:


1. In response to questions from the floor, the MD commented that the three deep diamond drillholes at BM1 have now been completed and they are awaiting assay results. He then added that: "If there had been anything material to report we would have done so".

This straightforward and honest remark says to me that No Massive Sulphides have seen in the diamond drilling.

ie: we will have to wait until next year's drilling to find out whether there is an underlying sulphide source for the oxide copper that ENR have been reporting at Yeneena, and, if so, whether this has economic potential.


2. Due to the extremme summer heat, remoteness, and lack of accomodation at the project site, fieldwork will now be shutting down for the summer, with a three-month break, for assessment of this year's results and careful planning of the follow up work next year.

This is an admirably intelligent and professional approach to the company's ongoing exploration programme at Yeneena and will ensure that next year's funds are spent in the most productive, effective manner.

However, it does also mean that there will now be no further drilling or assay results coming from the project until March 2011.

This lack of drilling news-flow may result in a progressive decline in the share price between now and then, and could also leave the share price vulnerable to profit taking if there are any more market pullbacks or shocks in the meantime.


So that's one I don't need to think about again for a month or two at least!

(Pay no attention to me though. I am not a financial adviser. Do your own research and make up your own minds..)