trading halt, page-15

re: trading halt kcn , congrats stocko Offer looks like an fantastic price for AND. Possibly better for AND shareholders to accept this offer and take an interest in the operating KCN project as well. KCN also has major exploration upside. $120m (based on fully diluted) for a punt is pretty big (although it's not cash, just paper).

KCN would have the ability to fund a large amount of the development without further equity issues using existing cashflows and access to cheap debt facilities.

The value available to AND shareholders by accepting the offer is impressive given the AND project doesn't even have a JORC Resource estimate yet, and is a long way from development for a company the size of AND without major dilution by new equity issues (and being screwed by financiers).

Sounds like from the presentation given by the AND Director (Gavin Thomas - also CEO of KCN, but not a KCN director) that he had no idea about the KCN move.

On the face of it, seems like a good move for both parties (although I think overall it is an expensive purchase).

Cheers
Marv.