Hi Murry,WGR have their now 100% wholly owned Rover project in...

Hi Murry,

WGR have their now 100% wholly owned Rover project in the NT that they are developing. They have $15m in the bank but will need 50/60/70m (not sure of the quantum but you catch my drift). I think they are more likely to be sellers rather than buyers becuase of this.

If the can get 50cents for their share of AAG they'll get themselves to about halfway in terms of their capital requirement.

RMS and SLR both have ground next to AAG and mills. It makes sense to me that both those companies would love to have AAG's high grade gold as an ore source.

If you look at the cost curve for gold producers there is a dramatic difference for the larger producers in terms of cost (basically because there's one set of head office expenses spread across more extracted ounces). Based on this I think it would be negligent in the extreme for the directors of AAG to not have approached their neighbours for a friendly chat.

Remember Cook has a history of selling off assets to fund projects (AAG's VMS holding for example this year).

JT